Real Knowledge Of Candle Patterns

Candlestick Patterns in Reversal Trading

Reversals are powerful when:

Patterns appear on key levels

Trend is exhausted

Volume divergence occurs

Examples:

Morning Star at support

Shooting Star at resistance

Engulfing candles at major swing points

Combining Candles with Indicators

Although candles alone are powerful, combining them with indicators increases win probability.

Best indicators:

RSI for overbought/oversold

Volume Profile / Market Structure

MACD for momentum shift

Moving averages for trend direction