Nuts and Bolts of Candlestick Patterns.

Candlesticks show the emotion by visually representing the size of price moves with different colors. Traders use the candlesticks to make trading decisions based on regularly occurring patterns. The general forecasting duration depends on the pattern of the candlestick. Candle stick analysis can be used for a positional trade. Since Candle stick has a reversal pattern, Volume plays a key role in deciding the direction of the movement.Candle stick analysis can be used for a positional trade. Engulfing candlestick patterns takes two candlesticks to be identified the major bullish and bearish reversal patterns. Piercing Pattern is a reversal candlestick pattern which is bullish in nature and appears at the end of a down trend. The Doji represents indecision in the market or a neutral pattern. Doji look like a plus sign or cross. Morning Star appears after a dark night but gives a bright day. Evening star appears after a bright day followed by a negative trend. Hammer is a sign of strength and bullish variant. Hanging man is a sign of weakness and bearish variant.