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    Ten Lessons From My Book: "The Ultimate Guide To Candlestick Chart Patterns" A Thread

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    Amine Amine
    The document summarizes 10 lessons from a book on candlestick chart patterns. The lessons include: 1) Larger candles indicate higher volatility while smaller candles show lower volatility. 2) Hammers are better reversal signals during downtrends. 3) Confirmation is needed for reversal signals like waiting for the next candle. 4) Dragonfly dojis and spinning tops can signal potential reversals. 5) Higher volume increases success of patterns. 6) Bullish haramis work better in oversold areas. 7) Individual bullish candles show buying pressure driving prices up.

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    Ten Lessons From My Book: "The Ultimate Guide To Candlestick Chart Patterns" A Thread

    Uploaded by

    Amine Amine
    484 views11 pages
    The document summarizes 10 lessons from a book on candlestick chart patterns. The lessons include: 1) Larger candles indicate higher volatility while smaller candles show lower volatility. 2) Hammers are better reversal signals during downtrends. 3) Confirmation is needed for reversal signals like waiting for the next candle. 4) Dragonfly dojis and spinning tops can signal potential reversals. 5) Higher volume increases success of patterns. 6) Bullish haramis work better in oversold areas. 7) Individual bullish candles show buying pressure driving prices up.

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    The document summarizes 10 lessons from a book on candlestick chart patterns. The lessons include: 1) Larger candles indicate higher volatility while smaller candles show lower volatility. 2) Hammers are better reversal signals during downtrends. 3) Confirmation is needed for reversal signals like waiting for the next candle. 4) Dragonfly dojis and spinning tops can signal potential reversals. 5) Higher volume increases success of patterns. 6) Bullish haramis work better in oversold areas. 7) Individual bullish candles show buying pressure driving prices up.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    484 views11 pages

    Ten Lessons From My Book: "The Ultimate Guide To Candlestick Chart Patterns" A Thread

    Uploaded by

    Amine Amine
    The document summarizes 10 lessons from a book on candlestick chart patterns. The lessons include: 1) Larger candles indicate higher volatility while smaller candles show lower volatility. 2) Hammers are better reversal signals during downtrends. 3) Confirmation is needed for reversal signals like waiting for the next candle. 4) Dragonfly dojis and spinning tops can signal potential reversals. 5) Higher volume increases success of patterns. 6) Bullish haramis work better in oversold areas. 7) Individual bullish candles show buying pressure driving prices up.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 11

    Steve Burns

    @SJosephBurns

    11 Tweets • 2022-03-05 •  See on Twitter


    rattibha.com 

    Ten lessons from my book: “The Ultimate Guide to


    Candlestick Chart Patterns”

    A thread
    The larger the candle, the higher the volatility of price
    action, and the smaller a candle is, the tighter a
    trading range has become. Increasing candle size
    indicates expanding volatility, while candles getting
    smaller shows contracting volatility.

    Hammers have a higher probability of being a valid


    reversal signal when found inside a chart trending
    downward.
    After a single hammer candle forms during a
    downtrend, the next day’s candle should open inside
    the hammer price range, or higher, to confirm that a
    potential reversal higher did take place.

    When using the inverted hammer as a reversal buy


    signal, waiting for the next candle to confirm a move
    higher can increase the odds of success.
    A dragonfly doji can act as a signal for a potential
    reversal in a downtrend of price action if it happens
    near the lows in price action on a chart.
    High trading volume in correlation with the candle
    pattern increases the probability of success with
    positions.
    A spinning top candle is primarily used in technical
    analysis as a signal that a trend or range is changing.
    If the spinning top candle forms after a downtrend or
    range in a market’s price action, it can signal a good
    probability of a reversal higher.
    A bullish harami candlestick pattern has better odds of
    working if it happens on a chart in an oversold area
    like a 30 RSI, or at a lower 2nd or 3rd deviation from
    the 20-day moving average.

    Individual bullish candles on a chart illustrate buying


    pressure that drives prices higher from the open to the
    close. A bullish candle shows that buyers can hold
    higher prices until the close.
    These pages were created and arranged by Rattibha
    services (https://www.rattibha.com)
    The contents of these pages, including all images,
    videos, attachments and external links published
    (collectively referred to as "this publication"),
    were created at the request of a user (s) from
    Twitter. Rattibha provides an automated service,
    without human intervention, to copy the contents of
    tweets from Twitter and publish them in an article
    style, and create PDF pages that can be printed and
    shared, at the request of Twitter user (s). Please
    note that the views and all contents in this
    publication are those of the author and do not
    necessarily represent the views of Rattibha. Rattibha
    assumes no responsibility for any damage or breaches
    of any law resulting from the contents of this
    publication.

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