Master the Candle stick patterns and profit from the swings of markets

Candle Stick is a tool developed by Japanese rice trader centuries ago to study demand and supply of rice. The candle stick has multiple data points for analysis and gives indicators regarding price pattern for the day’s high, low, open and close. The color also indicates strength or weakness. Candle stick analysis can be used by all technical traders other than intraday traders. If one uses it correctly, it can give timely signals for profitable trading in trend reversals. Volume should be high in patterns like doji, hammer and hanging man. It should be slightly high in Bullish and bearish Engulfing. Volume is not necessary for bearish or bullish Piercing. They are most useful in trending markets than in sideways moving markets.