How 10 candlestick patterns rise above

By Mark Deaton

There are many candlestick patterns that have been identified and used by investors to assist in trading performance. Candlestick patterns are best used in conjunction with other analytical tools in order to produce optimum performance. 10 candlestick patterns that traders should learn for investment activities are the following:

* The dark cloud cover: This 2 candlestick high probability formation is bearish. Generally the first candlestick is continuing the bull trend and the next candlestick will gap up and open appearing to continue the trend, but fail to make any bullish headway and close well below the open and well into the real body of the first candlestick.

* Doji: Sometimes called a Doji star because the candlestick resembles a star. The doji star forms when the buyers and sellers are equal and price remains relatively static. There can be variances in the high and low a little, but the open and close are very close.

* Engulfing Pattern: This is a two-day pattern where the first day's body is smaller than the subsequent candlestick, and they are both of opposite colors. This pattern is considered bearish when it appears at the end of an uptrend and bullish when it occurs in a down trending market.

* Evening star candlestick: This is a 3 bar bearish candlestick pattern. The first candlestick will be a rather strong white candlestick the second is a gap up short bodied candlestick indicating a weakness in bullish strength, then the final is a gap down bearish black candlestick where typically the low reaches beyond the 50% mark of candlestick #1.

* Hammer: When trading occurs significantly below the open, but ends well above the low and closes as its high, the candlestick formed has only one tail below its body. When this formation occurs during a downtrend, it often signals a reversal.

* The hanging man: The hanging man is like an upside down hammer. The hanging is simply a hammer on an uptrend, like I said its always bullish, in the case of a hanging man its a continuation candlestick as opposed to a reversal candlestick.

* Harami: This is a simple two day candlestick pattern that has a relatively small body on the second day that is completely surpassed on both sides by the previous day's candlestick and is always of the opposite color. It usually occurs during a minor correction in a bear or bull market and signals that this temporary uptrend or downtrend is reaching an end, and the underlying trend will continue. It is especially considered a strong indicator when it appears together with low trading volume.

* Morning star: This is a 3 bar candlestick pattern. Its a bullish reversal pattern and a very high probability one at that. The first candlestick will continue the bearish trend by closing well below the open. Next the second candlestick will gap down and close a bit higher than the open, but not much. Last the third and final candlestick in the pattern will gap up and rally to close well within the body of the first candlestick.

* Piercing line pattern: This pattern is a bullish reversal pattern with two candlestick in the formation. The first will continue the downtrend. The second candlestick will gap down appearing to continue the trend but will ultimately close higher than the open and well within the real body of candlestick #1.

* The shooting star: This single candlestick marks a reversal off of an uptrend. Characterized by a long upper wick and a short real body this bearish reversal candlestick simply says that the bullish trend has just been exhausted. Pay close attention to the shooting star. - 23217

About the Author:

Reading a candlestick chart is an absolute must if you plan to make your mark trading. It doesn't matter if you're making a hobby of trading or a seasoned pro who's looking for a new edge, candlestick patterns are the end all for accurately assessing price action. Download our candlestick chart mastery manual at http://www.candlestickgenius.com

Your GUide to the Forex Exchange Market

By Betha Mmari

The foreign exchange marketplace is also known as FX or it is also seen to be linked with with the forex. All three of these have identical significance, and that is the business of trading among different banks, business organizations, companies and authorities that are situated in various countries The unforeseeable financial market is constantly modifying leaving transactions required to be accomplished through dealers, and banks.

Because the internet has opened up the world to foreign markets, scams have developed in order to capitalize on those who don't understand that foreign exchanges must be made via a licensed broker with approval from foreign markets. Financial like stocks, currency and cash are swapped through these foreign exchanges and forex will be present and exist when one currency is traded for another. Think about a trip to a neighboring nation. Where are you going to be able to 'trade your money' for the value of the rate of exchange in the nation you are vacationing to? This is the way forex trades, and it isn't readily available in all banks, neither in all financial centers because forex is a special exchange service.

Small business and individuals often times looking to make a huge sum of money quick can easily become the victims of scams when discovering about the foreign exchanges and forex. Forex can be a way to make money fast, so people don't worry too much about who they are investing through, but if you are not investing money through a broker in the FOREX market, you could easily end up losing everything that you have invested in the transaction.

Scams to watch out for:

Forex scams involve making trades but fake results will become evident and you'll not have an opportunity of getting your money back once you have invested it. Investing your finances with a financial firm who says they are legitimate forex traders, you might want to do some careful checks to ensure they are permitted to do business in your country. Fraudulent businesses aren't allowed into the forex stock market as they have shown to have defrauded investors before.

Within the past five years and in addition to the aid of internet sites, forex markets and the knowledge of forex trading has become all the rage. Financial businesses are the best for forex market trades to happen, where a legitimate foreign exchange broker is going to complete transactions and requirements you set forth. The forex broker makes commissions on the transaction, and this is the normal way of the stock trade business.

One other kind of scam that is fairly regular under the guise of forex trading is software the should assist you in your trades. You must be focused when looking into forex trading, and in practicing so can you prepare yourself for making the most informed market trades. You need to be able to rely on a piece of software that help you make forex trades with confidence. Meet with your forex exchange agent to learn more about forex trading, the FX markets and how you can avoid becoming a victim with no money left. - 23217

About the Author:

You can visit: Forex Trading Guide For Beginners plus Forex Trading System Course for more reviewed information.

What is Forex Megadroid?

By Brian Cabrera

Are you searching for a Forex predicting robot? A robot that is engineered to perform amazingly accurate? Your answer may be in the Forex Megadroid. What it does is simply out of this world. You can't accurately predict the short-term future within two to four hours using only your human intellect. But with Forex Megadroid, you will become like a Forex prophet who profits by knowing the near future forex trends an uncanny 95.82% accuracy.

How can this help you? Think about it, there is big cash to be made in the Forex trading market It is a fact that currencies are always going up or down, all the time fluctuating. As a Forex trader, knowing the immediate market trends can make you a lot of money. It is reported on average that this robot has turned every dollar invested in 2009 into three dollars. That is an amazing 200% profit!

Because the forex market is so fluid, you need a program that can reliably predict the profitable trades before they happen. What is so innovative about Forex Megadroid is that it can analyze the Forex market in any kind of economic environment using proprietary computer-based mathematics called RCTPA or "Reverse Correlated Time and Price Analysis."

However, please bear in mind that the masterminds behind Forex Megadroid, John Grace and Albert Perry, are not just some nerdy brainiacs who wear horned-rimmed glasses, out-of-date clothing, and pocket protectors. No, that is not the case here... These guys have 38 years of real world experience in foreign exchange trading. They know through the school of hard knocks what are the common indicators of up or down forex movements. It was based upon this experience that the mechanisms of the forex prediction robot called Forex Megadroid was conceptualized.

The Forex Plug And Play System

Having a system that will help you trade forex effectively on auto-pilot is the perfect way to become financially independent. If you are looking for a system to base your investing future on, look no further than the Forex Megadroid robot at http://www.forexmegadroidreview.com/. - 23217

About the Author:

Forex Megadroid Review Get Updates on the Progress of Forex MegaDroid from someone you can trust!

Forex Report- Robots or Scams

By CFDREPORT

Forex Trading Australia Today the Forex Market has become very saturated and confusing with all the choices and options, both online and offline to begin your research on trading and making money. Where do you start and unless you have several free hours I couldn't list all of them here. In the market place today we can find seminars, articles, workshops, video tutorials, and books on the topic of how to make money currency trading. Everything from honest forex trading ideas, forex reports to Forex Scams. So if we are new to the market how do we not get ripped off?

If you decide to go with a broker, it's wise to consider all the various brokers' systems available to you before making your choice. If you are looking for the best Forex Broker have a look at the CFD FX Report they have recently reviewed all the Forex brokers in the market and come with who they believe to be the best you can view here The CFD FX REPORT

A well designed trading system will reduce your work dramatically. This in turn gives you time to focus on studying the market and plotting your strategy.

If you're like me however, there never seems to be enough time in the day between my family obligations and work to put in the serious study it takes to master the Forex market.

It is a pretty steep learning curve, and it can be pretty daunting at first for someone just learning how to trade. There is one more way to make money currency trading. It's probably the best bet for beginners and those of us who are pressed for time. The process is an auto-trading system, generally called a Forex Robot.

There are many of these Forex Robots out there, but they aren't all created equal. Many of these so called automated systems are nothing more than scams.

In other words, all Forex Robots are not created equal. I recently had a friend call me who had been trading on the currency market for some time, and was making some pretty good money trading Forex the traditional way. He excitedly told me that he had recently found a Forex Robot that was recommended by a fellow trader.

He went on to tell me that although he was skeptical of these automated Forex Robot systems, and believed like I did that most of them were scams, he decided to give it a try. The results were nothing short of brilliant.

However you need to find a product that you feel comfortable with. Feel free to visit the CFD FX REPORT as they may some good systems to look at.

Before you invest in any of theses products however, make sure you find out what the risk/reward profile is with the trading software you are looking at.

As an example, some of these software products come with risk/reward ratios of 2:1, while some even have a risk/reward ratio as high as 35:1.These ratios are not acceptable, and you need to look elsewhere, otherwise you'll lose all your trading funds pretty quickly.

Any automated trading software that comes with more than a 1:1 risk should be avoided like the plague. I want to emphasize that there are great Forex expert advisors and trading Robots that can make you good money, but you need to know how to recognize them, I have suggested a couple of places to start your search, but please do your own research.

It has been conclusively proven that automated products which adopt strict and professionally set guidelines and that will never allow you more than a 1:1 run, reduce the risk of destroying your trading account.

Did you know that there are average people out there making between $3500.00 to $4000.00 per mont trading the Forex market? How are they doing it? Find out how a powerful and "smart" Forex Robot is creating life-changing incomes for many people who have never traded the Currency market before.

Enjoy the Forex Market and all that it has to offer and have fun trading.

Happy Trading - 23217

About the Author:

s a real time trading tool that offers clients free trading reports, with trading ideas, stock market and forex market education as well helping them with. Also if you are looking for a Forex Broker, then feel free to visit our broker section as we recently reviewed all the forex brokers and have found the best on the market.

What It Takes To Understand Forex Trading

By Matt Sewell

Trading in forex is done at the same time, both buying and selling. They have a turn over of 3million daily. This made them the largest market exchange in the world.

Unlike stock trading FX trading deals are very direct i.e no central body is involved in trading so deals are directly conducted and zipped between two entities. Profit levels in FX trading is quite low in compared with other trading markets but vast profits for traders are generated when large volume of currencies being traded in the market.

In FX market unlike stock markets where traders have access to the same prices here access is decided by levels.

Forex market conducts the biggest number of deals everyday as large number of investment is comprised by regular banks, central banks, retail brokers, corporations, and some independent investors. All of them participate actively in FX trading which results in majority of market turnover.

A financial institution can sell euro and purchase Japanese yen , or buy American dollars and sell British pound.trading of currencies take place either by financial institution or a individual trader.

Two traders negotiate and transact deals directly with one another. Investors stay informed with updates of market trends and developments through the use of online channels and the 24-hour trading scheme. Another plus for investors is the absence of commissions. With the market for foreign trading expanding quickly, more than 30 percent in the last three years, London has emerged as the possible market leader, with its trading center exhibiting more than 30 percent of the global FX turnover.

London occupies the first position in forex market while New York is the second and Hong Kong and Singapore comes at third and forth position respectively. Detuche Bank, JP Morgan and Barklays are the biggest players in the forex market. Apart from these many other investment farms, hedge funds deals with forex trading.

Because of the high liquidity of the market and the low cost of trading, Forex trading is considered a very attractive investment option, with more and more financial institutions and investors beings attracted to this method of currency speculation. - 23217

About the Author:

You can find out more information about unbiased forex reviews, by going to this website about Forex Confidante Review.