Simple Forex Trading Analysis

Candlestick trading is synonymous with a method developed in Japan in the 1700s to understand large price movements. Candlesticks are created by rising and falling prices. While these price movements are sometimes very random, other times they form a pattern. This pattern is then used by traders to analyze something before trading.

The general pattern of candlesticks is bullish and bearish. A bullish pattern indicates that the price is likely to rise, while a bearish pattern indicates that the price is likely to fall. It must be understood that no pattern works all the time, because candlestick patterns represent the tendency of price movements.

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