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Shantanu replied to the topic What do we interpret using GAP ANALYSIS? in the forum GAP Analysis and its interpretations 7 years, 3 months ago
strength of the market trend
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Shantanu replied to the topic What are HAMMER / hanging man? Why it is very popular when to buy and Sell? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
its a frequently observed pattern which also indicates a pattern reversal with change in color of the candlesticks.
Hammer usually is indicative of Bullish trend and Hanging man is of Bearish trend.
One can buy when the prices go above the upper tail of current day’s body and the stoploss can be set at today’s low. -
Shantanu replied to the topic What is Engulfing pattern? What are its conditions to qualify? When to buy and Sell? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
1. Current day’s body completely covers the previous day’s body
2. Slight increase in volume
3. Trend reversal is observed through color change.If all the above conditions are met, we can qualify this pattern as Engulfing Pattern.
One can buy when the prices go above current day’s high and the stoploss can be set at today’s low (in case of…[Read more]
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Shantanu replied to the topic What is piercing pattern? What are its conditions to qualify? When to buy and Sell? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
1. Current day’s candlestick body completely covers the lower part of previous days’ body
2. Current day’s candlestick body covers 50% or more of the previous days’ body
3. Upper tail shouldn’t be highIf all the above conditions are satisfied,we can qualify the pattern as Piercing Pattern.
One can buy when the price is at the previous day’s…[Read more]
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Shantanu replied to the topic What is DOJI? How to make use of DOJI? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
DOJI is a form of candlestick which indicates that market had seen almost equal number of buyers and sellers the previous day and is an indicative of reversal from the current trend, if there’s a significant volume observed. When a DOJI forms, the market opens and close on almost the same price.
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Shantanu replied to the topic What is Candle stick analysis? Its evaluation and it real time application? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
this analysis is very useful for weekly traders as it specify the opening, closing, high and low of the previous day. It is an old Japanese technique to analyse the stock market.For weekly trades one can analyse these charts for trend reversal and make decisions accordingly.
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Shantanu replied to the topic What is morning and evening STAR? When to buy and Sell? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
Morning star DOJI appears when buying zone starts to form and one can buy the stocks when prices go beyond the DOJI day high.
Evening star DOJI appears when Supplier zone starts to form and one can sell the stocks when price come down below the DOJI day low. -
Shantanu replied to the topic What is the general forecasting duration using candlestick analysis? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
one week
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Shantanu replied to the topic Who should use candle stick analysis? What is the role of volume in candlestick analysis? in the forum The Simple Candlestick Analysis 7 years, 3 months ago
weekly traders can use Candlestick analysis.
high volume indicates trend reversal in case of DOJI and Hammer/Hanging man -
Shantanu replied to the topic What is rounding bottom / Cup pattern? What are their conditions to determine the bullish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
its an accumulation pattern which takes over at least 6 months to form. during this period the volume stays low
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Shantanu replied to the topic How price pattern are different from Dow Theory? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Price patterns tell us the market or rather buyers and sellers behavior whereas Dow theory simply talks about current trend of the market
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Shantanu replied to the topic When to buy and Sell using Price Patterns? in the forum Price Patterns and its characteristics 7 years, 3 months ago
it varies from pattern to pattern. The conditions for different pattern usually include breakout point, the duration for which the pattern is formed and the volume during the breakout
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Shantanu replied to the topic What is Double TOP? What are their conditions to determine the bearish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
it can be identified when two equivalent top forms in the chart
1. the gap between two equivalent tops should be at least 20 days.
2. the volume at the second top should be high or when the trend crosses previous low -
Shantanu replied to the topic What is Double BOTTOM? What are their conditions to determine the bullish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
it can be identified when two equivalent bottom forms in the chart
1. the gap between two equivalent bottom should be at least 20 days.
2. the volume at the second bottom should be high or when the trend crosses previous high -
Shantanu replied to the topic What is Head and Shoulder? What are their conditions to determine the bearish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Usually inverted Head & Shoulder doesn’t occur much frequently. Again its an accumulative trend which occurs in span of a month or two.
1. The left top should have high volume.
2. The immediate rise after left shoulder should be very steep
3. Each shoulder and head should take at least one month to form.
4. The right side shoulder should have…[Read more]
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Shantanu replied to the topic What Should be Entry price, Exit Price and Stop loss for Head & Shoulders in the forum Price Patterns and its characteristics 7 years, 3 months ago
Considering Bearish trend:
Entry Point should be a short position created at the neck of right shoulder.
Stop loss : Right shoulder top
Exit Price : target
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Shantanu replied to the topic What is inverted Head and Shoulder? What are their conditions to determine the bullish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Usually inverted Head & Shoulder doesn’t occur much frequently. Again its an accumulative trend which occurs in span of a month or two.
1. The left bottom should have high volume.
2. The immediate fall after left shoulder should be very steep
3. Each shoulder and head should take at least one month to form.
4. The right side shoulder should…[Read more]
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Shantanu replied to the topic What is inverted Head and Shoulder? What are their conditions to determine the bullish trend? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Usually inverted Head & Shoulder doesn’t occur much frequently. Again its an accumulative trend which occurs in span of a month or two.
1. The left bottom should have high volume.
2. The immediate fall after left shoulder should be very steep
3. Each shoulder and head should take at least one month to form.
4. The right side shoulder should…[Read more]
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Shantanu replied to the topic What Should be Entry price, Exit Price and Stop loss for Flag Pattern in the forum Price Patterns and its characteristics 7 years, 3 months ago
Entry Point (EP) : starting peak of the triangle base (if bullish) or lowest point of the triangle base (if bearish)
Stop Loss (SL) : starting peak of the triangle base (if bearish) or lowest point of the triangle base (if bullish)
Exit Point : For bullish = & for bearish =
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Shantanu replied to the topic What is triangle pattern? What are the conditions to qualify as perfect triangle? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Triangle pattern is formed when significant amount of buyers and sellers are competing in the market. Its a diminishing pattern in which the total triangle area is expected to of at least 1.5 month duration and break out can occur in either direction and it usually occurs when 70% of the total triangle area is covered already. Also, high volume…[Read more]
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