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THE CANDLESTICK TRADING BIBLE
The daily chart above shows us how this indicator could help us
execute our trades with confidence; the false breakout of the
resistance level that was made by the pin bar was a powerful signal to
short the market. The trade was confirmed by the false breakout of
the upper band as well.
Remember that this technical indicator is used just as a confirmation
tool in range-bound markets, don’t use it to generate signals, use it
always in combination with horizontal key levels, and you will see how
this strategy will affect positively your trading account.
In conclusion, i recommend you to practice these strategies as much
as you can before you open and fund your trading account.
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THE CANDLESTICK TRADING BIBLE
The engulfing bar candlestick pattern
The engulfing bar pattern is one of the most powerful and profitable
price action patterns, knowing how to use it properly as an entry signal
will tremendously improve your trading profitability.
In this section you will learn how to use the engulfing bar pattern
profitably, it doesn’t matter if you are beginner or advanced trader, if
you are looking for seriously a better trading strategy more than what
you have been using. You have come to the right place.
What is an engulfing bar pattern?
This reversal candlestick pattern consists of two opposite colored
bodies in which the second body engulfs or covers entirely the first
one:
A bullish engulfing pattern forms at the end of a downtrend, it
provides a clear signal that the buying pressure has overwhelmed the
selling pressure.
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