NOTE: You can get your free candlestick patterns PDF guide below. Steve Nison introduced candlesticks to the world in his 1991 book “Japanese Candlestick Charting Techniques,” and they are now very popular because of their simplicity and unique insight into the sentiment of the market.Ĭandlestick charts are most often used in the technical analysis of equity and currency price patterns, and in this post, we go through exactly how you can use them in your own trading. He was also thought to have developed the candlestick charts that were later brought to the Western world by Steve Nison.
It dates back to the 16 th century when Homma Munehisa used this to trade rice contracts.
Candlestick patterns are one of the oldest forms of technical and price action trading analysis.Ĭandlesticks are used to predict and give descriptions of price movements of a security, derivative, or currency pair.Ĭandlestick charting consists of bars and lines with a body, representing information showing the price open, close, high, and low.
