which candlestick pattern is most reliable in forex?
No candlestick pattern is 100% reliable and should always be used alongside other knowledge of support.resistance, price action, etc.
That being said, one of the most common candlestick patterns to show up on charts regularly is the Bullish/Bearish engulfing candlestick pattern.
It only makes sense if you see it at the end of a trend. So anyone you see at the end of a down trend is called bullish engulfind because the last red candle on the trend will be smaller than the preceeding green candle which will completely swallow or "engulf" it in size.
Anyone you see at the end of an up trend is a bearish engulfing candle stick pattern because the last green candle on the trend will be engulfed by the next red candle.
It is pretty easy to spot but it doesnt work always.
No candlestick pattern is 100% reliable and should always be used alongside other knowledge of support.resistance, price action, etc.
That being said, one of the most common candlestick patterns to show up on charts regularly is the Bullish/Bearish engulfing candlestick pattern.
It only makes sense if you see it at the end of a trend. So anyone you see at the end of a down trend is called bullish engulfind because the last red candle on the trend will be smaller than the preceeding green candle which will completely swallow or "engulf" it in size.
Anyone you see at the end of an up trend is a bearish engulfing candle stick pattern because the last green candle on the trend will be engulfed by the next red candle.
It is pretty easy to spot but it doesnt work always.
One of my favorite is the teacup and handle pattern. After you spot the curve which looks like the bottom of the teacup, it is sometimes followed by a downward trend which looks like the handle of the teacup.
Like the previous commenter said, no candestick pattern is foolproof and they could be misleading.
One of my favorite is the teacup and handle pattern. After you spot the curve which looks like the bottom of the teacup, it is sometimes followed by a downward trend which looks like the handle of the teacup.
Like the previous commenter said, no candestick pattern is foolproof and they could be misleading.
The hammer candlestick pattern is one of the easiest to spot because it looks like a hammer. I look out for it at the end of a trend as it known to signal a reversal of trend as seen in the image I attached where the downtrend turns to an up trend upon sighting the inverse hammer.
The head and shoulder candlestick is my favorite because it is easy to spot and lthought it doesnt work everytime, theres a high chance it heralds a change in trend.
If you spot it in an upward trend it could mean a downward trend is around the corner and vice versa.
The head and shoulder candlestick is my favorite because it is easy to spot and lthought it doesnt work everytime, theres a high chance it heralds a change in trend.
If you spot it in an upward trend it could mean a downward trend is around the corner and vice versa.
The Doji single candlestick is important to me because when i spot it in a downtrend i check to see if the next candle will break above the high of the doji, if it does i know the down trend is over and a reversal is at hand.
The Doji single candlestick is important to me because when i spot it in a downtrend i check to see if the next candle will break above the high of the doji, if it does i know the down trend is over and a reversal is at hand.
The doji pattern could sometimes signal a trend may be ending but this mostly works at the start of sessions when there is momentum.
The doji pattern could sometimes signal a trend may be ending but this mostly works at the start of sessions when there is momentum.
Hammer head candlestick pattern seen atthe end of a trend usually signals a reversal of the trend.
