📊 The 3 Most Important Japanese Candlestick Patterns 📊

Hammer 🛠️📈:

Description: The hammer is a bullish reversal pattern that appears after a downtrend. It is characterized by a small body at the top of the candle and a long lower shadow, at least twice the length of the body.

Meaning: It indicates that sellers tried to push the price down, but buyers stepped in and pushed the price up, signaling a possible bullish reversal.

Example: If you see a hammer on a daily chart after several days of decline, it could be a sign that the price is about to rise. 🚀💹

Morning Star 🌟📈:

Description: The morning star is a bullish reversal pattern consisting of three candles: a long bearish candle, followed by a small candle (can be bullish or bearish), and then a long bullish candle that closes at least halfway down the body of the first candle.

Meaning: This pattern indicates that selling pressure is easing and buying pressure is increasing, suggesting a possible bullish reversal.

Example: If you see a morning star on a weekly chart, it could be a sign that the market is changing from a downtrend to an uptrend. 📈🌅

Bullish Engulfing 📈🔥:

Description: The bullish engulfing pattern forms when a large bullish candle completely engulfs the body of the previous bearish candle. This occurs in a downtrend and suggests a bullish reversal.

Meaning: It indicates that buyers have outnumbered sellers, suggesting a change in market direction to up.

Example: If you see a bullish engulfing pattern on a 4-hour chart, it could be a sign that price is about to

go up🚀📈📊

If you need more information or have any other questions, let me know! 🚀📈📊