Tuesday, July 8, 2008

Patterns Recognizer

Technical analysts in the Forex market found that by observing the candlesticks patterns, there are recurring patterns on the candlestick charts. Such patterns are like recurring pictures on the candlestick charts and they tend to occur when a trend is about to end or reverse its direction.
Why are candlesticks patterns important?
The answer for this question is quite simple because candlesticks represent true status of what is going on in the market at the current moment.
Finally, candlesticks patterns can be easily used to determine potential reversals of the current trends in the market - most likely when used at the same time with other technical indicators. By constantly observing the candlestick patterns, traders can observe potential reversals of trends and have good opportunities to join the market with strong indication of what will go on next.

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