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kalidasan replied to the topic What is called as GAP in technical analysis? in the forum GAP Analysis and its interpretations 7 years, 3 months ago
Gap is a sign of strength of strength which is caused by the trading range which enables the trader to locate the phase of trend.
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kalidasan replied to the topic How to name a GAP? What are Four Types of GAP? in the forum GAP Analysis and its interpretations 7 years, 3 months ago
The long gap between the previous day’s highest price,and the lowest day’s price go out of the range,there forms a gap which known as the gap.The four type of gap as: – area gap, break out gap , run away gap, and exhaustion gap.
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kalidasan replied to the topic What do we interpret using GAP ANALYSIS? in the forum GAP Analysis and its interpretations 7 years, 3 months ago
The analysis of gap indicates the strength of market,weather it is moving with strength or loosing strength. and it helps to locates the trend . Four types of gaps available in practice. Area gap, Break out gap, runaway gap , and exhaustion gap .
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kalidasan replied to the topic What are the characteristics of four phases (Consolidation, Breakout, Runaway and Exhaustion) of trend? in the forum GAP Analysis and its interpretations 7 years, 3 months ago
Consolidation : It is a sign of uncertainty ,between the buyers and sellers. When the supply is sufficient,and buyers satisfied with the selling price, both of them come to conclusion and they start selling.It gets consolidated. During the consolidation, in a non trending area it is said to be area gap.
Breakout gap : After the consolidation…[Read more]
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kalidasan 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
It is reversal , appears both in bullish , bearish trends. The bullish body must cover its previous bear body. the recent price fall should be taken in account. the slight hike in trading volume is expected in its previous two days. Entry at the high price of the engulfing candle. SL at the lowest of engulfing candle .Target with A+R.
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kalidasan 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
A hammer like candle ,with twice the length of the body .It appears at the bottom of the bearish trend. Rare but powerful , after a significant price falling. the upper tail not be visible . Buy the top when the next bullish candle crosses the hammer. Sell at twice the risk taken.
Hanging man appears at the top of the bullish trend , A reversal…[Read more]
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kalidasan 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
It is neutral , opens and closes at the same place. After a significant price fall,when people started buying . with a high volume. A reversal is expected to take place, . Buy at the top of the candle . stop loss at the bottom.,buying and selling decisions may change according to the previous trend. Target: A + .
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kalidasan 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
It is simple , and analytical in nature , which is helpful for the short term traders.It requires a deep understanding of demand and supply.
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kalidasan 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 : This candle appears at the end of the bearish trend after a significant price fall when a small amount of buying happens , It is a neutral ,and a rally will take place . Buy at the top of the candle, stop loss should be at the bottom. Sell must be twice of the risk reward ratio.
Evening star : This candle appears at the end of t…[Read more]
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kalidasan 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
The price action for less than a week can be forecasted.
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kalidasan 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
Candle stick analysis mostly suits the weekly traders. The high volume of the second candle reveal the trend reversal.
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kalidasan 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
Very rare appearance. It appears to be sign of reversal, good for weekly traders,the latest body should cover the previous body’s low . covers at least 50% of the previous day candle.It is a sign of bottom rejection. the upper tail and lower tail reveal the selling pressure.
Buy at the highest price of previous candle.
Stop loss at the lowest…[Read more]
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kalidasan 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
It occurs in down trend ,and it may take one month to two months .more volume will be on the left shoulder,the price should be low at the head.
We can go long when it crosses the neck line.
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kalidasan 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 indicates trend consolidation.It requires minimum 45 days to get consolidated . A,B,C,D,E structure is formed. Connecting HT +LT +LT and connecting HB+LB+LB to form a triangle.A triangle break out expected around 70% zone. volume is required to confirm break out.
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kalidasan replied to the topic What is FLAG pattern? What are the conditions to qualify as perfect FLAG? in the forum Price Patterns and its characteristics 7 years, 3 months ago
A steeper pole is the begining of the pattern, _ a rectangular shape flag is formed in the period of 4 to 7 days . then a breakout has to take place . It expresses an uncertainty trend . volume is expected during breakout.
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kalidasan replied to the topic What are Price Patterns? in the forum Price Patterns and its characteristics 7 years, 3 months ago
Price patterns are the portrait of’ Market behaviour. The price patterns give us a clear picture about the trend , They are are formed with price and volume. they help us in trading decisions.
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kalidasan 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
The previous trend must be bullish . A head with two shoulders namely the right and left must be seen., the previous HT must be the left shoulder, and the last higher top must be the head. the next lower bottom will be beginning of bearish trend . the selling pressure starts at the head. high volume must be found with left shoulder.the right…[Read more]
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kalidasan 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
Find equal two bottoms. high volume must seen with right bottom. at the LB the selling pressure starts .
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kalidasan 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
Find an equivalent two tops. Both of them should be equal in height. the duration must be minimum 20 days . high volume must be with the right top. short position can be had at the previous low. while in down trend.
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kalidasan 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
The price patterns can be found with bullish and bearish trends.
Buy when it crosses the HT and forms a breakout in bullish trend, sell with reward ratio.
Go short when a breakdown takes place, at LB and buy with rewardratio.
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