Forex Candlesticks has lot of Patterns when doing analysis. When it comes to using them, you must focus on some key ones and ignore the rest till the time you have gained enough experience.

Else, the things will become confusing during forex chat analysis.

To get you started, I am sharing with you top 3 forex candlestick patterns that you must always be aware of -

1. Forex Candlestick Doji - Definitely “a must” to know. When analysing charts which are 1 hr based or above, then a doji candlesticks pattern holds a prominent importance.

2. Candlestick Engulfing Pattern - Bearish or bullish engulfing, both display significant reversal charactersticks. Whenever spotted on a daily chart or even a 1 hr chart, it indicates that market is about to reverse. They are pretty reliable forex patterns

3. Morning or Evening Stars fomation - Like engulfing patterns, these forex candlestick formations are also indication of that market is about to reverse. However, these patterns are not too frequent. But whenever spotted, they are quite reliable.

Along with this there are certain important points related to candlesticks that you must be aware of. These points I have shared in my free forex report.

You can get free access to that report by joining my mailing list at - Learn Forex Candlesticks

Forex Candlesticks are very useful in finding when a trend has started and when the trend is ending and also when is the forex market reversing.

Most forex traders just stop at identifying if the candlestick is bullish and bearish and if the trend is continuing, where as candlesticks can be used not only to enter the trades, but also to accurately place the stop loss.

However, forex candlestick cannot be used in isolation. Let me be clear about this. If a candletick is bearish, this analysis alone cannot be used to decide if a trade should be placed or if it should be closed. To make such decisions, there is another indicator necessary such Trend lines.

If the candlestick hits a trend line, it is at this point a clear cut analysis and so forex trading decisions can be made. For example, if during an uptrend, the currency pair forms a doji on the resistance line, that is a clear cut indication that the market may reverse.

And then this analysis can be used to make calculated decisions if the trade should be closed or if a short position should be opened.

If you would liketo receive a free forex trading strategy which is candlestick based, then enter your name and email address on the form above.

Thats all in this short post on candlesticks.

Forex Candlesticks are some of the most flexible technical indicators around. By that I mean that they can be used in any market such as Commodities, stock trading, options, futures and what not.

The most common candlestick patterns such as doji, spinning tops, hammer etc are found in charts of all form of markets.

So once you learn the forex candlestick, you are well equipped to use that information in other markets also.  

And the good this forex tecnical indicator is that they are highly accurate. You can come across folks who just use candlestick to enter and exit the trades.

If you are looking for a free forex trading strategy that is based on candlesticks, here is what I suggest -

Just enter your email and name in the box above and I’ll immediately send you a manual that includes this forex trading strategy.

So go ahead and enter your name and email id in the box and receive a free trading strategy that uses Forex Candlesticks.