Stock market analysis becomes much easier when knowing the nature of each candlestick signal and the common sense perspectives of the Japanese rice traders. Stock market analysis can utilize the typical reactions of human nature. Where do most people buy? They buy exuberantly at the top. This becomes much more visible when using candlestick charts. The gap up in the NASDAQ and the S&P 500 on Thursday, in the overbought conditions, becomes a high probability alert. Start looking for profit-taking/selling. At some point, the weight of higher interest rates will start showing their effect on the overall market trend. The candlestick investor becomes much more prepared when witnessing sell signal indications in the market indexes. The candlestick forum chat rooms provide a constant educational perspective, teaching investors when reversal signals and patterns are showing a change in investor sentiment. Candlestick signals and patterns illustrate the strength of a price trend or price movement continuation. As illustrated in AI and ZIM charts, fry pan bottoms produce continued price trend movement despite a change in investor sentiment in the overall markets.
Understanding what usually occurs during a candlestick pattern allows an investor to improve profitability, maintaining positions that are not reversing when the overall market is reversing. Join us in our chat rooms using our two-week free trial. You will gain some insights that do not occur utilizing other charting techniques. Click here to register.
