Understanding Japanese Candlesticks (for cryptocurrencies)
How to read the market language? 🕯️📈
Behind every number you see on the screen is a story told by "Japanese candlesticks". If you learn to read these candles, you'll know who is in control now: the bulls (buyers) or the bears (sellers)?
The top 3 patterns you should know:
Hammer Candlestick: Often appears at the bottom and hints at a price reversal upwards.
Bearish Engulfing: A large red candle that engulfs the one before it, and is a strong signal for a decline.
Doji: Represents confusion in the market; no one is in control, and it is often followed by violent movement.
Tip of the hour: Don't rely on candles alone; combine them with volume to ensure the strength of the movement.
Interaction question: What is your preferred timeframe for analysis? (15 minutes, 4 hours, or daily)? Share with us in the comments! 👇
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