Japanese star candles

By this name I no longer refer to a single candle, but to a whole combination of candles existing under certainStar candles conditions.

The “Star” candle has a small body; when it is formed, there must be a price gap with the previous candle ( gap ).

It is this phenomenon that gives more weight to the newly formed candle.

Ideally, the price gap should exceed the shadow value, but this is not a prerequisite for identifying a Japanese candlestick.

Stars belong to candlestick reversal patterns, which only emphasizes their value; the signal is strengthened if the formed candle has a different direction of movement from the previous one.

For example, if the price closes at 1.2000 in an uptrend, the next candle opens at 1.2010 and closes at 1.1990, which signals the possible start of a downtrend.

The main types of stars that are most often highlighted are graphs are:

Morning star is a signal of the emergence of an upward trend in a downward trend.  

Evening Star is a signal of the emergence of a downward trend during an upward trend.

Using such combinations yields good results when trading on Forex, the main thing is that all the described conditions are met when forming them.

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