• Japanese candlesticks are a popular way to display price movements. Each candle consists of a body and shadows.

• Body: Represents the difference between the opening and closing price.

• Upper shadow: represents the highest price reached.

• Lower shadow: represents the lowest price reached.

• Green candle: means that the closing price is higher than the opening price (bullish market).

• Red candle: means that the closing price is lower than the opening price (the market is bearish).

Japanese Candlestick Patterns:

• Doji candle: Occurs when the opening and closing prices are very close to each other. This pattern indicates indecision in the market.

• Hammer candle: It has a small body and a long lower shadow. This pattern indicates a possible reversal to the upside.

• Bullish/bearish engulfing candle: When a larger candle engulfs a previous smaller candle, indicating a strong change in trend.

Chart analysis for beginners:

• Support and Resistance: These are historical price levels where the price can stop or reverse. A support level indicates a price at which there is heavy buying, while a resistance level indicates a price at which there is heavy selling.

• Moving averages: They help determine the overall trend of the market. When the price is above the moving average, the trend is considered bullish, and vice versa.

Tips for beginners:

• Start by understanding the basics before getting into complex analysis.

• Use demo accounts before risking your money.

• Avoid investing amounts that you cannot afford to lose.

• Follow news and updates about cryptocurrencies periodically as they affect prices.

If you are interested in more details or learning specific technical analysis tools, you can refer to reliable educational sources such as technical analysis books or specialized educational platforms.

#solana #Binance #bitcoin #BTC #AVAX

$