Candlestick Analysis deals with the Price movements and Demand & Supply. It will help us to make a stand on Long/Short position based on the current market.
Mostly used for weekly traders. as it give conclusion based on short term trend
Patterns:
Engulfing Pattern
Piercing pattern
Doji
Hammer or Hanging man
Hi,
My Question 2 :: Morning star is different then DOJI morning star?
The Doji is a single candlestick pattern that indicates weakness and a potential trend reversal. This can be either a bullish or a bearish trend reversal, depending on where the doji appears on the price chart.
Morning star(Doji) appear at the end of a downtrend and also at the end of a correction. This pattern indicates for a reversal from downside to the upside in their stocks as well as evening star(Doji) candlestick pattern is a bearish reversal pattern that hints of a reversal from an uptrend to downtrend.
My Question 1 :: Why hammer/hanging man is very popular to buy and sell
These candlestick patterns is very popular is used to identify the current market trends or any sign of trend reversal and to trigger buy and sell signals. It shows the buyers and sellers behavior very effectively otherwise nothing