Greetings, dear readers, and welcome back to our blog. Yesterday, we acquired insights into the plotting of support and opposition. It won’t work if all you have is opposition and support. On the back chart, we occasionally learnt where support and resistance are. As traders and investors, it is imperative that we make accurate predictions about the market’s next move.
As a savvy trader, it’s crucial to have a keen eye for candlestick patterns and chart patterns. These indicators are essential tools for making informed decisions and assessing market trends. 100 examples will be provided in each. Numerous books discussing candlestick patterns are readily accessible. Today, we will be discussing the most practical options that you can readily utilize. Additionally, it is important to consider the primary ones. Today, we will be delving into the analysis of three distinct candlestick patterns. The first candlestick patterns we’ll be discussing is the Doji.
According to recent findings, the hammer has been ranked as the second most essential tool in any toolbox. Inside Bar is third. These 3 patterns will be taught to us on a weekly chart. Learning certain skills can be quick and easy, taking only 5 to 10 minutes of your time. It’s important to recognize the value of these skills and how they can benefit you in the long run. Learning about candlestick patterns on a weekly basis can be quite beneficial for traders. For instance, the hammer pattern can signify a temporary halt in the market’s bullish momentum amidst a price uptrend.
With the decrease in the number of buyers, it is likely that we will see an influx of sellers entering the market. Similar to outside bar, interior bar appears when the market cannot decide. Today, many individuals engaged in the practice of purchasing stocks on the market and subsequently selling them the following day. Once more, the market is frozen.
In order to make an informed judgment, it is imperative that we familiarize ourselves with all three patterns. Chart patterns will make up the second section. It denotes symmetrical designs, triangles, and flags. To kick things off, let’s take a look at the first candlestick pattern. The initial pattern we’ll be discussing is the hammer pattern.
In this blog post, I will be demonstrating a particular task. Today, we’ll be taking a closer look at the graph we discussed in our previous post. Today’s market performance and our previous day’s actions. At this point, there is nothing further to add. Yesterday, we had the opportunity to observe our market support area. As per our initial plan, the zones were created with the intention of selling in case the market experienced a drop below the established level of support.
As you can see, the market gapped down when it opened. As a seasoned expert in the field, I highly recommend waiting for a brief period of five to ten minutes after closing the distance. This will allow for ample time to assess the situation and make any necessary adjustments before proceeding. As we patiently waited, the market experienced an increase. In a surprising turn of events, the market experienced a sudden rise within a mere 5-minute timeframe, despite the presence of a selling position.
It implies that you are currently indecisive. Have you ever wondered what happens to your investments when the market experiences an increase? Your pillar was torn apart. The red line served as our support. The analysis we conducted to determine the intraday direction. The market fluctuated and continues to fluctuate. This placemat has the next support at 40-800. As a blogger, it’s important to establish a clear goal for yourself. One effective approach is to set a range between 40 and 800.
This will give you a specific target to work towards, while still allowing for some flexibility and room for growth. By setting a goal in this range, you can focus your efforts and track your progress over time, ultimately achieving the success you desire. A support was broken by the market. The next course of action will be to seek further assistance. We will reserve it here if it arrives today during the day. During the day, individuals have the option to reserve their desired target here.
As an avid trader, I sometimes opt to exchange positions by selling a call. This strategy can prove to be quite effective in certain situations. As of late, the market trend has experienced a slight reversal. In light of this, it may be wise to consider implementing a hedge and holding your position. Banks are bearish as may be seen. Yesterday, we executed this action. Today, we are excited to announce the launch of our latest series. So, what’s next on our agenda? We take the weekly chart.
On weekly, it looks better. On the board, I will explain. Before we dive into the topic at hand, let’s take a moment to define what exactly candles are. A candle contains four items. fling open, shut, high, and low. The candle is these four things. The process for making the candle? Have you ever wondered about the process behind creating those adorable dog-shaped candles? Well, wonder no more! Today, we’re going to delve into the world of candle-making and explore the steps involved in crafting these charming canine creations. Let’s say this market starts. The market has prioritized a low.
Following a significant drop that caused a downturn in the market, it eventually rebounded and reached a peak. Assume that it is only this high. The trading day came to a close with an interesting development – the market ended up in the middle, having reached both an identical low and an identical high. What took place here? The marketplace was left in shambles due to the overwhelming presence of vendors. The market increased due to buyers. The closure was situated right in the middle.
Hence, it is imperative to note that neither the purchaser nor the seller has the liberty to select their preferred destination. Introducing the latest addition to our candle collection – the Dog Candle! What does it signify every week? As we approach the end of our timeline, we now have a mere five days remaining. Mon. From Monday through Friday. This week’s featured candle is the doji. It implies that during the first two days, we will be bullish. The final two days will be bearish for us. Friday’s market closed in the middle. This is how the chart for the entire week will appear to you.
In five days, a range will be produced. As a standalone entity. Trading the range breakout becomes a straightforward task when dealing with a week-long range. If the weekly chart shows a doji, it will be simpler to trade breakouts and you will have greater options. In this blog post, I’ll be showcasing how to apply it by demonstrating several instances on the screen. The most recent example of doji is the best. The market exhibited a noteworthy trend from this particular candle, with an initial decline in prices. The object gradually ascended and eventually sealed shut at its core.
The candlestick pattern that we’re looking at here is commonly referred to as a doji. It’s important to note that Doji candles have the potential to appear in either red or green. This is a crucial aspect to keep in mind when analyzing market trends and making informed trading decisions. If the opening and closing positions of an object are identical, it is likely to appear black. Correct. It might be any shade. We only need to observe that the market first declined before turning upward and closing in the center. A variety of doji exist. As a blogger, it’s important to note that a decrease in value doesn’t necessarily have to match the increase in value.
When analyzing candlestick charts, it’s not uncommon to come across a gravestone or dragonfly doji that displays a significant shadow on one side. This can provide valuable insight into the market’s behavior and potential trends. We’re referring to the one with a nearly equal top and bottom. Correct. As we can see, the doji has been identified in this particular location. Let’s now discuss how to use its intraday. See what the market produced this week if we look at the chart in 15 minutes from the same location. This marks the end.
You’ll observe that the market in this region simply increased, decreased, and closed. The box was made by the market. Yes. If you’re into intraday and breakout trading, chances are you’ve already started buying from this gap upward. Right. This is an incredibly advantageous development for our breakthrough. because I also held this trade intraday. On this auspicious day, I am pleased to announce that I have earned a whopping 10 lakhs. And the transaction continued.
As a blogger, it’s important to note that in this particular scenario, it’s crucial to exercise patience and wait until the doji weekly is obtained. Intraday trading enthusiasts can reap rewards by keeping an eye out for the breach of a dog’s high. This simple yet effective strategy can yield profitable results in a short amount of time. Traders can utilize spreads to strategically position themselves within weekly time frames. You will receive a good trade and a set risk. I also want to point out that whatever candle you see, whether it be a hammer or a doji, is formed of a lot of tiny candles if you observe it on a large time frame.
In the world of trading, a single doji holds immense significance as it reveals the subtle nuances that may go unnoticed by the untrained eye. These little candles, often overlooked, can hold the key to unlocking profitable trading strategies. Performing multi-time frame analysis on any other time frame is essential to identify a large, solid candlestick pattern. This technique is highly recommended by seasoned traders and can help you make informed trading decisions.
Doji is a powerful candlestick pattern, and viewing on a long time frame has another advantage. You become highly confused when searching for breakouts or range on a short time frame. The candle will occasionally rise and occasionally fall. You’ll become really perplexed. However, it is obvious that it was a range limited area if you look at the same candle on a weekly basis. On a 15-minute chart, you’ll see. You can actually see this chart. The value has decreased. As we can see, there is a breakout that is clearly evident in this particular scenario.
As a blogger, it’s important to ensure that all necessary information is conveyed to your audience. In this case, there’s one more thing that needs to be shared with your readers. You bring that on weekly and show doji once. The doji present in this scenario is functioning as a bullish reversal candlestick pattern. If you’re looking to seize the aforementioned trade, there’s one crucial factor you simply cannot overlook. In regards to the following example, it is worth noting its previous place of origin, as it may shed light on the matter at hand. Additionally, this particular item can also be observed in the present context.
Furthermore, it is worth noting that the observed pattern is a doji. As previously mentioned, the placement of a chart can significantly impact its effectiveness. Sometimes, we are not able to catch the baths doji that was created here is a continuation pattern. Here, the market did this breakout. We missed this breakout. As a savvy trader, my focus is on seizing the next opportunity presented by the market’s dynamic fluctuations. When the market passes time at this location, whether it passes time or consolidates, you can continue after that. If we need to enter in B but missed A, what pattern did the market follow to produce this doji? This doji is also flat.
There is no body at all. This doji is also important. If you see from below, then when you get a red candle, it means that the bears tried to take the market down. But if here, even after the red candle, the breakout is coming, the market is going up, it means that the bulls have become aggressive again. And that is doji. The significance of doji is definitely there. But again, I personally believe that bottom and top should not be left. Yes, it should not be left. But it is important if anyone can cut you with a strong candlestick. We are trying to see all types of examples here.
Actually, why I am telling people, like we talk about doji, we are understanding this now. There is resistance there. There is a breakout of resistance. Sometimes people listen to Hammer. However, there is no greater power in the Jersey than the power they listen to the shooting star they see that the hammer is made but they hold the hammer in the wrong place then they say that we didn’t have a hammer, so we got stop loss in it of a few claps between the two.
so that’s why it is a little difficult if you use the hammer in the middle, it doesn’t make sense because that trade is made in the middle there is a fight between the buyers and sellers you can’t hold the hammer in the middle that hammer can be made anywhere but if the hammer is made in the down or up its value increases a lost use the hammer in the last there is no sense to use it in the middle your SL will be more now this is the candle of 31st October we will see in 15 minutes how it can be used in intraday so you will see here that this week this is called perfect devisee,
market has almost this is also included almost made a sideways move now if we get a breakout of this it means that this breakout is very good market came from here to up you took a pause after taking a pause, market continued so when you want to catch big trends then these doji candles will help you a lot now I will tell you one more thing definitely Rehash will tell you about chart patterns you draw this
we are talking about candlestick patterns we are talking about doji but here if you have read my chart patterns blog then you can see a bullish rectangle here so bullish rectangle is a continuation chart patterns what is it when you understand chart reading then sometimes you will catch it with chart patterns sometimes you will catch it with candlestick patterns so this is a very good example of bullish rectangle continuation chart pattern main thing is reading if you keep on reading chart then you will get an experience that you don’t have to draw this chart pattern anywhere
you will see it with your eyes so our next patterns hammer at this time in the market you can see hammer in weekly of course this has a small handle but market has pulled down buyers, sellers are getting aggressive in this type of market most of the time market makes ugly candle doji because it is important to take pause in this if it goes up directly and comes down directly then all the people who have done buying and institutions they have wasted their times what they will do they will take pause and take out their stuff and then doji will be created and market will break it down and after breaking it down,
they will try to make A, B, Cut we can judge this breakdown if doji is made out of hammer that is a very good thing now let me tell you one more thing you will be less confused you have to remember hammer, hanging man, shooting star basically you remember pin what is pin? You see that it has a small body and then a needle, so you realize that the pin is significant for you.
If you happen to come across the pin in any context, its importance will not go unnoticed, particularly if it appears at the pinnacle or base of the chart. Correct, you must follow a straightforward buyers and seller’s principle;
you don’t need to pay attention to the candle’s color or anything else if sellers have pulled the market down and the market is now rising and closing; in this case, the winner is you. When market came down there was more fall in the market and then it closed here similarly you can find its opposite market went up there was selling in the market sellers did more aggressive pulled it down now let me tell you something here we call it hammer but if you get the same thing at the top of the chart then we will call it hanging man and because it is falling from there you call it shooting stares to clear people have put many names but you just go on the concept you will understand it clearly
so next we will understand hammer where is hammer more important and how here you will see that market is going up while going upmarket made a pin at the topic am saying pin because there are many names after making pin here you have to pay attention that market pulled down and then closed you just have to pay attention to this low closings soon as market breaks this low you can shoot the market with this Slat the topic you get similar kind of thing at the bottom then you always take the downside of pin and take the bullish state on its break now we are doing this in weekly
it means that market got bullish for next 10 days similarly if market is making up then for next 10 days market got bearish that is not an intraday view if you are a trader then you can use intraday for 1 or 2 days but your views for 10 days10 days view is when you are looking at weekly time frame correct but if you are looking at daily time frame or 15 minutes time frame then you can take intraday trade.
candlestick pattern will be same this thing will work on 15 minutes but its frequency will be reduced in weekly you can get this thing8 times out of 10in 15 minutes you can get this thing5 times out of 10its frequency will be reduced now we will see where we can use this thing from this is our second example this is from downside we understood that if we get pin from top then how it will be,
now this second is from bottom market pulled market from top simply you see market made low you can’t see weekly candle but it is almost 800k points market made low then it pulled 800k points and closed it many times market came from tope can call it doji but you have to remember how much selling and buying happened if selling is 800k points and remaining 100 to 150 points that thing will be called pin and hammer many people confuse it as doji if you take next trade-in weekly you have to wait for it to break like what happened in next trademarked became almost equal you will get trade in next trade and this is the trade and this is almost 1500 points
so in weekly you will get points like this1500, 2000, 2500 points you do this thing daily or in 15 minutes your points will be reduced but its significance will not be reduced you can try it you can go in previous charts if you get ahead,
it will be good you can do forward testing but you can back test it you will get 8 out of 10 answers so next example is inside Bari am explaining inside bar in weekly but inside bar works very well in 15 minutes and 1 hour and 1 day because inside bar means there is a big move in market then pause there is no guarantee that it will go down or up so we take both types of things like here this is recent example market came down market made big red candle big red candle means next move will be big.
so market is disturbed because of not being disturbed market is paused we have used this example before but this is inside bar example big red candle and doji because it is big next move many people bought this candle because this candle was also insides this is a rectangle boxes soon as market breaks its high after that inside bar’s importance increases inside bar when we talk about digit is like this if you see daily, it will look like this if it is inside bar then charts are smaller if it is like this it means there is a big break outro break down in market you will get a big move
similarly this is a good example market gave you 3000 points more than 3000 points if you get this patterning inside bar weekly you can print good money you will see a triangle here many people trade triangle we have explained triangle in chart patterns in that also there is a break out like we understood candles when we see in chart patterns you will see this in small in weekly it is clear but in one hour you will see patterns you will see everything in weekly so that new people can understand easily they will not get confused because if they get confused they will feel bad so they will not do this now we will see second example.
second example of inside bar here also market made a mother candle last time you saw red candle and another red candle here green and next candle is green now you can understand two weeks market is in one place big and small candle two weeks means 14 days market did not move from 14 days so this is a good break out point whether it goes down or up but market tries to cover the length of the ranges soon as market break this area market gave you move and this move is from 39000 to 48000
move of 1800 points now we have understood three doji, hammer and inside bar inside bar you will get twice in a month doji and hammer you may get once in a month but inside bar once is enough to get 2000 to 3000 points traders work hardtop get 2000 points in a year so I am teaching a new person that if he will trade silently he can easily touch 2000 points and easily yearly 2000 points are enough for you and 2000 points are not like you are getting it in intraday.
it is very important so many people think that 2000 points200 points is enough but you are talking about intraday here we are talking about positional trading so it is important to understand both and that’s why new people are saying more towards positional that you should think more towards positional if you start new in intraday if you start intraday on 5th day your SL will be hit.