A New Candlestick Pattern That Signals Rapid Reversals
A Comprehensive Guide to Utilizing This New Market Pattern
Candlestick charts are a popular tool used in financial markets to represent price movements over time. They originated in Japan over 300 years ago with rice traders and have since been adopted globally for trading a variety of assets including stocks, currencies, and commodities.
Candlestick charts are valued for their ability to provide a clear visual representation of market behavior within specified periods.
This article presents a new pattern I have been looking, which may harbor some potentiel if used right or at least within a healthy and diversified trading framework.
Quick Introduction to Candlesticks
Markets are analyzed through time series which are recorded quotes at regular time intervals. Generally, financial markets contain what is known as OHLC (open, high, low, and close) data.
Each data point on an OHLC chart represents a set period and shows four key prices:
- Open: The price at which the asset started trading at the beginning of the period.
- High: The highest price at which the asset traded during the period.
