Candlestick patterns are an essential tool for traders in the financial markets. These patterns provide valuable insights into market sentiment and potential price movements, allowing traders to make more informed decisions when buying or selling assets. In this article, we will explore the basics of candlestick patterns, how to interpret them, and how to use them effectively in trading. Candlestick charts originated in Japan in the 18th century and have since become widely popular among traders around the world. Each candlestick on a chart represents the price movement of an asset over a specific time period, typically ranging from minutes to days. The candlestick is composed of a body and two wicks, or shadows, which indicate the high and low prices during the period. There are many different types of candlestick patterns, each with its own unique characteristics and implications. Some of the most common patterns include doji, hammer, engulfing, and harami. Doji candles, for example, have a small body […]