By www.forexconspiracyreport.com
Evening Star Predicts Bear Markets
A Japanese candlestick signal called the Evening Star predicts bear markets. Forex currency rates vary with events in both nations whose currencies one trades. And market sentiment fluctuates according to the fundamentals and the current psychology of the market. When one currency has been rising against another traders may believe that the trend is about to end. However, getting out of a trade too soon can result in lost profits and waiting too long can result losses as the currency reverses course. A price pattern that was recognized by rice traders in ancient Japan helps in this case. The Evening Star predicts bear markets of Forex currency rates with timely accuracy.
Candlesticks and the Evening Star
Candlesticks
What is the Evening Star and, for that matter, what are Japanese candlesticks? Candlesticks are rectangles superimposed on a stock, commodity, or Forex chart. The top and bottom of the rectangle are located at the opening and closing prices of the day. A white candle tells us that that currency closed higher than it opened and a black candle tells us that it was a losing day overall. The candle has a wick at each end, called a shadow. The shadows tell us how high and how low trading ranged before the day ended. A specific type of candle or two or three can be a candlestick signal. Candlestick signals are what Forex traders look for in trying to predict changes in market sentiment and consequent price movement. While the Evening Start predicts bear markets it is possible to anticipate a Forex market reversal with the Doji signal in either direction.
Evening Star Signal
This signal indicates that a falling market is at hand. It is a three candlestick signal which typically means that it comprises the results of three days of trading. The evening star in many world cultures is the planet Venus which lies low in the sky at sundown half of the year. At these times it obviously predicts a long night. By analogy in Forex the Evening Star predicts bear markets. The first candle in the signal is white and is the last up day of established bull market. The second candle is quite short and lies above the top of the first on the Forex chart. It is black. The third candle is black and starts below the level of the second and extends into to range of the lower half of the first candle. As the Evening Star predicts bear markets traders can expect to see the currency continue to fall.
What Is Happening when We See an Evening Star Signal?
The first white candle is just another good day for the currency being traded. It goes up a healthy amount which is consistent with the fact that the trend is up. The second candle makes us aware that there are changes afoot. Although the currency gaps up at the start of the day it ends a bit lower. This tells us that there is uncertainty in the market. Although this could just be a short correction it is not.
2. A Japanese
candlestick
signal called
the Evening
Star predicts
bear markets.
By www.forexconspiracyreport.com
3. Forex currency rates vary with
events in both nations whose
currencies one trades.
By www.forexconspiracyreport.com
4. And market sentiment fluctuates
according to the fundamentals
and the current psychology of
the market.
By www.forexconspiracyreport.com
5. When one currency has been
rising against another traders
may believe that the trend is
about to end.
By www.forexconspiracyreport.com
6. However, getting out of a trade
too soon can result in lost profits
and waiting too long can result
losses as the currency reverses
course.
By www.forexconspiracyreport.com
7. A price pattern that was
recognized by rice traders in
ancient Japan helps in this case.
By www.forexconspiracyreport.com
8. The Evening Star predicts bear
markets of Forex currency rates
with timely accuracy.
By www.forexconspiracyreport.com
11. What is the Evening Star and,
for that matter, what are
Japanese candlesticks?
By www.forexconspiracyreport.com
12. Candlesticks are rectangles
superimposed on a stock,
commodity, or Forex chart.
By www.forexconspiracyreport.com
13. The top and bottom of the
rectangle are located at the
opening and closing prices of
the day.
By www.forexconspiracyreport.com
14. A white candle tells us that that
currency closed higher than it
opened and a black candle tells
us that it was a losing day
overall.
By www.forexconspiracyreport.com
15. The candle has a wick at each
end, called a shadow.
The shadows tell us how high
and how low trading ranged
before the day ended.
By www.forexconspiracyreport.com
16. A specific type of candle or two
or three can be a candlestick
signal.
By www.forexconspiracyreport.com
17. Candlestick signals are what
Forex traders look for in trying to
predict changes in market
sentiment and consequent price
movement.
By www.forexconspiracyreport.com
18. While the Evening Start predicts
bear markets it is possible to
anticipate a Forex market
reversal with the Doji signal in
either direction.
By www.forexconspiracyreport.com
19. Evening Star
Signal
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20. This signal indicates that a
falling market is at hand.
By www.forexconspiracyreport.com
21. It is a three candlestick signal
which typically means that it
comprises the results of three
days of trading.
By www.forexconspiracyreport.com
22. The evening star in many world
cultures is the planet Venus
which lies low in the sky at
sundown half of the year.
By www.forexconspiracyreport.com
23. At these times it obviously
predicts a long night. By analogy
in Forex the Evening Star
predicts bear markets.
By www.forexconspiracyreport.com
24. The first candle in the signal is
white and is the last up day of
established bull market.
The second candle is quite short
and lies above the top of the first
on the Forex chart.
By www.forexconspiracyreport.com
25. It is black.
The third candle is black and
starts below the level of the
second and extends into to range
of the lower half of the first candle.
By www.forexconspiracyreport.com
26. As the Evening Star predicts bear
markets traders can expect to see
the currency continue to fall.
By www.forexconspiracyreport.com
27. What is happening when
we see an evening star
signal? By www.forexconspiracyreport.com
28. The first white candle is just
another good day for the currency
being traded.
By www.forexconspiracyreport.com
29. It goes up a healthy amount which
is consistent with the fact that the
trend is up.
By www.forexconspiracyreport.com
30. The second candle makes us
aware that there are changes
afoot. Although the currency gaps
up at the start of the day it ends a
bit lower.
By www.forexconspiracyreport.com
31. This tells us that there is
uncertainty in the market.
Although this could just be a short
correction it is not.
By www.forexconspiracyreport.com
32. The next day often gaps down
and the traded currency falls
substantially nearly taking away
nearly all of the gains of the first
day.
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33. Fundamentals may have changed
or the currency may simply have
become overbought.
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34. In either case the Evening Star
predicts bear markets and traders
who pay attention can trade
accordingly and make profits.
By www.forexconspiracyreport.com
35. The mirror image of the Evening
Star signal, the Morning Star in
Forex trading helps predict a bull
market.
By www.forexconspiracyreport.com
