Channel: Mahendra kori

Category: Education

Tags: shooting starmahendrainverted hammer and shooting starkoriinverted hammer shooting star candlestickstock market basichammer candlestick patterninverted hammerinverted hammer candlestick patterntechnical analysisshooting star candlestick patternstock market channelinverted hammer vs shooting starmahendra kori

Description: Candlestick Pattern Playlist link:- youtube.com/c/Mahendrakori/playlists Inverted Hammer candlestick is a pattern that appears on a chart when there is a buyer’s pressure for pushing the price of the stocks upwards. This is a reversal candlestick pattern that appears at the bottom of a downtrend and signals a potential bullish reversal. This candlestick pattern gets its name from an inverted hammer in real life. This candlestick pattern has a long shadow at the top and there is no shadow at the bottom. The length of the long shadow is usually twice the height of the real body of the candlestick. The Inverted Hammer is a signal of bullish reversal after a downtrend. It tells the traders that the bulls are now willing to buy the stock at the fallen prices. After the downtrend, there is pressure from the buyers in the market to raise the stock prices. It tells the sellers in the market to exist as they may be a bullish reversal and tells the buyers to enter their buying position as the bullish trend is about to start. But remember to confirm this signal with other technical indicators as it may sometimes fall signals. You can also wait for the next trading day to confirm the beginning of the bullish trend. If in the next trading session the opening price is more than the closing price of the inverted hammer candlestick then you can enter the buy position. A shooting star is a bearish candlestick with a long upper shadow, little or no lower shadow, and a small real body near the low of the day. It appears after an uptrend. Said differently, a shooting star is a type of candlestick that forms when a security opens, advances significantly, but then closes the day near the open again. For a candlestick to be considered a shooting star, the formation must appear during a price advance. Also, the distance between the highest price of the day and the opening price must be more than twice as large as the shooting star's body. There should be little to no shadow below the real body. Shooting stars indicate a potential price top and reversal. The shooting star candle is most effective when it forms after a series of three or more consecutive rising candles with higher highs. It may also occur during a period of overall rising prices, even if a few recent candles were bearish. Copyright Disclaimer: - Some contents are used for educational purposes under fair use. Copyright Disclaimer under Section 107 of the Copyright Act 1976, allowance is made for "fair use" for purposes such as criticism, comment, news reporting, teaching, scholarship, and research. Fair use is a use permitted by copyright statutes that might otherwise be infringing. Non-profit, educational, or personal use tips the balance in favor of fair use.