A Detailed Thread on Candlesticks you NEED to know 🧵
These candlestick patterns can be a leading factor in a trend change before many know it’s even happening 👇🏼
1. Bullish Inverted Hammer
Strong reversal candle in a downtrend and as you can see above this one led as the market bottom leading up for a 65 point move after.
Always want to find it after a big red candle.
2. One of my favorite setups is the Harami, in this case it was a bearish harami. This candle is near the top of the previous large green candle & would be vice versa for the bulls if it was on bottom of a previous large red candle with same sized wicks on both ends. 30+ points
Here is also an example of a bull harami relating to the last post.
3. Gravestone Doji. A DEADLY candle as you can see here where we had a 200+ point sell off of it… sellers take over here after an uptrend and starts the trend reversal to the downside. Long higher wick with a Doji type close near bottom of candle.
4. Spinning Top reversal here after a strong red candle or green candle forming at the end of the candle usually leads for a minimum 75-100% retrace of that previous candle. In this case a 60+ point move 🚨
Here you can also see a bearish spinning top that led to downside
Also regarding those last posts you can also categorize some as Morning Doji Star and or Evening Doji Star reversals!
I HIGHLY SUGGEST YOU GUYS CHECK OUT AND KEEP THIS CHART WITH YOU
Be sure to LIKE, RETWEET and FOLLOW for more THREADS ❤️
Join us at discord.gg/Xdj5rVSR FREE LIVE TRADING TOMORROW 🚀
#stocks #options #investing #technical #technicalanalysis #daytrader #daytrading #stockmarket #candlesticks
Share this Scrolly Tale with your friends.
A Scrolly Tale is a new way to read Twitter threads with a more visually immersive experience.
Discover more beautiful Scrolly Tales like this.