Candlestick Pattern Recognition Software.
Pattern Recognition Master All you have to do is just to look if this chart pattern is bullish or bearish, check the general trend and decide your trading stance. You can refer to this list of Japanese candlestick patterns to quickly find the signal value of . Jul 04, · hi all in the pic below i see more type hammer (2,3,4) and more type shooting star (2,3,4) why? more big is the number more perfect is the pattern? and more small is the number less perfect is the pattern?
Three powerful trading strategies easy to use Step by step screenshots showing you when to enter and exit the market Tons of examples How to find Support and Resistance and take confident trades How to set up the Candlestick Pattern Recognizer for specific strategies.
Table Of Contents Chapter I: Candlesticks and the mass psychology I. Market psychology 3 Once a trader becomes familiar with candlestick charting, he can get a quick and highly visual signal because of the story candlesticks tell. Candlestick signal reliability 3 Reliable candlestick patterns can predict market reversals — either minor corrections, or full trend reversals. Candlestick Pattern Recognizer II.
Chart set-up 4 Prepare your chart. Indicator set-up 4 Fully customizable Candlestick Patten Recognizer with its options makes your trading comfortable. Pin-ball strategy 9 You must have noticed that the markets tend to range more than they trend.
Trend following strategy 16 As opposed to the Pin-ball strategy, we don't look for quick and small profits here. Recognizes and picks only reliable divergence patterns Signals can be sent to your email Custom settings, hidden divergences, filtering the more reliable "regular" and "deep" divergences Developed for MetaTrader 4. Using the Divergence Pattern Recognizer for maximum profit Profit on both small corrections and full trend reversals Find the best entry point Several smart exit strategies Tons of examples.
How professionals trade divergence patterns 3 Have you ever wondered why the market turns against you when you jump on a promising looking market trend? Indicator set-up 5 More options. The first rule about the tail should help keep you in line. The nose of the pin bar , which is sometimes nonexistent, is important only as it relates to the tail and body.
This pattern triggered a sharp move higher back to previous swing lows, which acted as resistance. On the second retest of resistance, sellers came out in force and eventually formed a bearish pin bar. I wrote a more detailed lesson on the pin bar where I get into what makes a tradable setup as well as where to place your stop loss and target. This observation is especially true for those trading anything less than the daily charts.
Take a peek at the video below where I explain the characteristics of the inside bar and an easy way to determine if one is bullish or bearish. When it comes to Forex candlestick patterns, the inside bar is my second favorite pattern to trade.
Notice how the inside bar in the chart above formed during a strong uptrend. An established trend is a requirement for trading this particular candlestick pattern. The reason for this is that the inside bar is nothing more than consolidation. So we have a strong trend followed by consolidation which leads to a breakout in the prevailing direction.
Note that the pair had been in a downtrend for several months, therefore these are bearish continuation patterns. You could make the case that the first signal in the chart above was also a pin bar, and I would agree. The combined rejection of former support and consolidation made for an incredibly profitable trade setup.
Last but not least is the engulfing candlestick. Unlike the inside bar that we just studied, this formation most often signals a reversal in the market. Because it takes more than an engulfing candle to warrant a position. To be considered tradable, an engulfing candle must develop at a key support or resistance level and after an extended move up or down.
While the video above only addresses the bearish engulfing candle, the same rules apply for its inverse, the bullish engulfing. For it to be profitable, an engulfing pattern must form at a swing high or low. Only then can it be used to formulate a trade idea.
Hence the name, this is the most prominent and significant feature of this pattern. While the engulfing bar pattern is my third favorite in this lineup, it can be extremely telling if properly utilized. The two bearish signals formed at resistance, creating two profitable opportunities.
Know that the first candlestick in the chart above is also a bearish pin bar or at the very least a bearish rejection.
Always remember that a bullish engulfing pattern at a swing low is a sign of potential strength. It signals that the current downward momentum is likely coming to an end. Alternatively, a bearish engulfing pattern at a swing high is a sign of potential weakness. If you see one form in this manner, the chances are good that an increase in selling pressure is on its way. Our online tutorial provides candlestick formation definitions. Draw a box on the graph to zoom in.
Double-click or click the Update button to zoom back out. Use the check boxes under the graph to include or filter out patterns. Note that patterns are easier to spot when the market is moving quickly, rather than when the market is slowly ranging. Pair Granularity 1 min 5 min 15 min 30 min 1 hour 4 hours 1 day Candles 60 90 Your capital is at risk.
Losses can exceed investment.
An established trend is a requirement for trading this particular candlestick pattern. Unlike hiring a full-service broker to do your analytical work for you, stock charts analysis software can be had for a one-time cost which is a welcome relief to the regular fees and commissions which brokers charge for you to do the same job and arguably not as effectively.
Candlestick Pattern Recognition Software. If you do not know how to install this indicator, please read the MetaTrader Indicators Tutorial.