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Japanese Candles for Beginners

This article explains Japanese Candles for Beginners. We'll discuss their history, their types, and also a little bit into the analysis of Japanese candles.
What are Japanese candles?
Japanese candles are a universal type of charting, which displays not only the course of the price trend but also interval (one candle is a certain time interval (timeframe) during which the price moved). In other words, the Japanese candles show how the price moves on the time scale, but also the course of the price within a certain specific time interval (minute, 5, 15, 30 minutes, 1, 4 hours, 1 day, 1 week, 1 month, and sometimes even a year ). Most often, Japanese candles are used in the technical analysis of the market.

[caption id="attachment_1467" align="aligncenter" width="336"] Japanese Candles[/caption]

Where did this type of graphics come from, and why are Japanese candles called exactly?
It's very simple, we'll find the answer on the pages of history. Japa…

EURUSD Daily Technical Chart » 07-Nov-2017

Below is the technical chart of EURUSD. Previously, I'd discussed technical charts with Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles technical indicators, but this time, for a change, I've not used any technical indicators.
I've just used Japanese Candlestick Chart. Time Frame taken is Daily.


[caption id="attachment_1464" align="aligncenter" width="700"] EURUSDDaily-chart[/caption]


As seen clearly on the chart above, a Bullish Hammer has been formed on yesterday's chart. That means EURUSD will rise from these levels in a day or two. 
Now, watch EURUSD technical chart on H4 time frame and wait for Buy signal by Doda Donchian, MACD and Doda Bollinger Bands. When they confirm buy signal, take a long position in EURUSD.
Note: There is a complete tutorial on MACD on ForexTradingKit.com. Go through that and download MACD indicator for MetaTrader 4. You'll love that indicator.

NZDJPY Technical chart | 30-Oct-2017

Below is the technical chart of NZDJPY explained with different technical indicators.
NZDJPY Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

[caption id="attachment_1458" align="aligncenter" width="574"] NZDJPY Technical Chart[/caption]

Just like NZDUSD forex currency pair movement, NZDJPY also has started another leg of downtrend from 77.843
All our famous and tested technical indicators, including Doda Donchian has already given Sell signal and the price is trading below Ichimoku Kumo and Doda Bollinger bands. 
Major Support Levels for NZDJPY
77.947
77.828
77.675
Major Resistance Levels for NZDJPY
78.230
78.325
78.479

NZDUSD Technical chart | 30-Oct-2017

Below is the technical chart of NZDUSD explained with different technical indicators.
NZDUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

[caption id="attachment_1455" align="aligncenter" width="590"] NZDUSD Technical Chart[/caption]

NZDUSD started its downtrend on 19-Oct-2017 from 0.70960 and rests around 0.68197. In the last trading session, it tried to move little bit upward but bearish signals pulled it down.
As a result, another leg of downtrend has been started in this forex currency pair chart and one has the opportunity to take Short sell @0.68487. Doda Donchian has already given Sell signal and the price is trading below ichimoku Kumo and Doda Bollinger bands. 
Major Support Levels for NZDUSD
0.68333
0.68197
0.67976
Major Resistance Levels for NZDUSD
0.68775
0.68911
0.69132

AUDJPY Technical Chart Explained | 25-Oct-2017

Below is the technical chart of AUDJPY explained with different technical indicators.
AUDJPY Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

[caption id="attachment_1445" align="aligncenter" width="524"] AUDJPY Technical Chart[/caption]

Doda Donchian gave sell signal @88.527 but it moved sideways after that as the currency pair was trading above Doda Bollinger bands. Once it closes below Doda Bollinger bands, it became further weak but then it was trading inside kumo of Ichimoku indicator. Kumo is always NO trade zone.
But now, things have changed. AUDGPY managed to cross kumo also. Future kumo is also bearish.
MACD, Aroon and Doda Stochastic indicators also confirmed that.
So, one can take short sell call here. Currently, it is trading @87.866 with a stop loss of 88.10
Major Support Levels are:
88.420
88.348
88.231
Major Resistance Levels are:
88.654
88.726
88.843

GBPUSD Technical Chart Explained | 25-Oct-2017

Below is the GBPUSD Technical Chart currency pair of 25-Oct-2017 explained with different technical indicators.
GBPUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.


[caption id="attachment_1438" align="aligncenter" width="628"] GBPUSD Technical Chart[/caption]


GBPUSD tried to cross 1.32718 but faced tough resistance there from Ichimoku Kumo cloud and Doda Bollinger Bands. So, it moved downward and Doda Donchian gave Sell signal @1.31326. Doda Bollinger bands also confirmed that.
However, after giving a sell signal, the candle pattern shows "Bullish Hammer". So, all the mixed signals will make this currency pair to move sideways for some time. The overall environment is bearish for GBPUSD. So, it will fall further then.
One can take short sell call on GBPUSD now with a stop-loss of 1.31697.
Major Support levels are:
1.31139
1.30869
1.30432
Major Resistance levels are:
1.32012
1.32…

Welcome to ForexTradingKit.com

We've designed a brand new website ForexTradingKit.com - dedicated to Forex traders and investors. 
ForexTradingKit.com
The website shows different tutorials on technical indicators, forex trading strategies, forex platform software etc. Forum for discussion will be started soon. Daily chart analysis of major currency pair will be there.
So, just visit ForexTradingKit.com and subscribe to it.
The following articles have been posted so far:
How to use Doda Donchian indicator in Forex Trading?
Guide to MetaTrader 4 Platform for Forex Trading
How to Install Metatrader 4 on Mac OS?
How to Install Metatrader 4 on Linux?
How to Install Metatrader 4 on Mobile Phone?
How to use MACD indicator effectively? (with pictures)
How to Use Stochastic Oscillator for Forex Trading?

EURUSD Technical Chart 23-Oct-2017

Below is the EURUSD Technical Chart currency pair of 23-Oct-2017 explained with different technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

[caption id="attachment_1427" align="aligncenter" width="619"] EURUSD Technical Chart[/caption]

EURUSD has formed a very interesting pattern on the technical chart. Different technical indicators have already given Sell signal on this currency pair. 
Doda-Donchian has given sell signal @1.17836
The curreny pair is already trading below kumo cloud of Ichimoku; thus chances of moving downwards are very strong. Kumo level of 1.17768 has become strong resistance now.
MACD indicator has also given sell signal.
The only waiting indicator in the list is Doda Bollinger bands. It's still giving support to EURUSD @1.17400, which interestingly coincides with Fibonacci retracement support level.
Thus, 1.17400 has become very strong…

GBPJPY Technical Chart | 19-Oct-2017

Let us discuss GBPJPY technical chart for today. 
GBPJPY Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.


[caption id="attachment_1420" align="aligncenter" width="479"] GBPJPY Technical Chart[/caption]

Although Doda Donchian indicator gave Buy signal @148.582 but long call was not initiated. There were several reasons for that.
Firstly, the currency pair was trading inside Kumo cloud of Ichimoku indicator, which is NO trade zone. It's always risky to take any call inside kumo. So, it's better to avoid such signals.
Secondly, the signal was not confirmed by Doda-Bollinger Bands. You can read how to filter out false signals of Doda-Donchian with Doda-Bollinger Bands.
So, the wait was only wise decision.
Now, the currency pair has crossed ABOVE Kumo cloud, which was its strong resistance. Doda-Bollinger bands have also given buy signal.
So, one can easily take long call @149.282 with…

EURUSD Technical Chart 18-Oct-2017

Below is the EURUSD Technical Chart currency pair of 18-Oct-2017 explained with technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

EURUSD currency pair started its downtrend from 1.18338. It was expected as Future Kumo was flat from the bottom at that time. Flat kumo always attracts the price. That is one of the golden rule of Ichimoku indicator.
Now, after touching its support level 1 @1.17420, EURUSD is currently trading near kumo. To get upside, it has to cross Kumo level 1.17768 - 1.8299, which has become its strong resistance now.
So, if it breaks its support level of 1.17420, one can initiate fresh short position.
Major Support Levels are:
1.17420
1.17269
1.17025
Major Resistance Levels are:
1.17908
1.18059
1.18303

EURUSD Technical Chart 16-Oct-2017

Below is the EURUSD Technical Chart currency pair of 16-Oct-2017 explained with technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

[caption id="attachment_1408" align="aligncenter" width="450"] EURUSD Technical Chart[/caption]

After facing resistance @1.18747 and then @1.18586, EURUSD is taking support @1.18011. This support level is also the support level of Doda Bollinger Bands.
So, shall we take any long call at this level?
NO
Let us find out the technical reasons for this.
Doda Donchian indicator already gave sell signal @1.18338. But since the price is trading above Ichimoku cloud Kumo and Doda Bollinger bands, one can confidently say that this is a false signal. So, just stay away from this currency pair for the time being.
Major Support Levels are:
1.18066
1.17905
1.17645
Major Resistance Levels are:
1.18586
1.18747
1.19007

EURUSD Technical Chart 13-Oct-2017

Below is the EURUSD Technical Chart currency pair of 13-Oct-2017 explained with technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.
In the last article, I suggested to ignore trading EURUSD as at that time, it was trading inside kumo, which is a NO trade zone.
But things have changed now.

Now, EURUSD currency pair is trading ABOVE kumo cloud of Ichimoku indicator and also above Doda-Donchian and Doda-Bollinger Bands.
So, one can take long call in EURUSD currency pair.
So, buy [email protected] with a stop loss of 1.18366
Support Levels are:
1.18244
1.18120
1.17918
Resistance Levels are:
1.18647
1.18771
1.18972


EURUSD Technical Chart 11-Oct-2017

Below is the EURUSD Technical Chart currency pair explained with technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.

As clearly visible in above image, Doda Donchian indicator gave Buy signal @1.17312 and it gave profit of apporox. 68 pips by then.
The same call was confirmed by Doda-Bollinger bands too.
But shall one take such call?
Let us examine in detail.
The BUY signal was given when EURUSD was trading below Ichimoku cloud. That means such calls are risky ones. One should NOT take any Buy call when a currency pair is trading below Ichimoku cloud.
Currently, EURUSD is trading inside Ichimoku cloud - which is "No trade" zone.
Although with current pattern, EURUSD is likely to touch 1.18425, where it will face tough resistance. But still, I would wait to tarde this currency pair EURUSD either above Ichimoku cloud or below this cloud.
Support Levels for today are:
1.17567
1.17363
1.170…

Forex Trading Technical Charts Report | 04-Oct-2017

Below is the forex trading technical charts report for 04-Oct-2017.
I've taken major currency pairs technical charts into consideration using my favorites technical indicators - I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.
EURUSD Technical Chart
After touching low of 1.17019 yesterday, it started moving little upwards and now, it has given buy signal @1.17710. But beware, it is a FALSE signal as the currency pair is still trading below Ichimoku cloud and Doda Bollinger bands indicator.
Wait for either it crosses cloud - which will take few trading sessions or wait for next short sell signal. Till then, sit on cash.
Support for today at : 1.17120, 1.6953, 1.16682
Resistance for today at : 1.17662, 1.17829, 1.18100
GBPUSD Technical Chart
GBPUSD currency pair gave a profit of 110.8 pips after giving sell signal @1.33768 and is moving sideways. Book profit at this stage and take another short sell call if it closes below 1.32214…

EURUSD Technical Chart 03-Oct-2017

Below is the EURUSD Technical Chart currency pair explained with technical indicators.
EURUSD Technical Chart
I’ve used Doda DonchianDoda-Bollinger BandsIchimoku and ADX Candles in this chart. Time frame used is H4.
As suggested in my yesterday's post, EURUSD started its downtrend journey as all our signals confirmed that one-by-one. So, that was calculated risk.
You might be wondering why I am still saying it as "risk"?
The answer is even if all your tested technical indicators confirm the signal, this forex market is very very volatile and unpredictable. No can be sure 100% at any stage of ticking. One has to take risk to make money.
But that risk should be well calculated in advance rather than playing gambling.
Ok. Back to our technical chart of EURUSD.

At the time of writing this article, EURUSD is taking rest at support level 2 of today which is @1.17058; that means a profit of 69.7 pips from yesterday article recommendation.
What next?
First, make a stop loss of 1.17682

EURUSD Technical Chart 02-Oct-2017

Below is the technical chart of EURUSD currency pair explained with technical indicators.
EURUSD Technical Chart
I've used Doda Donchian, Doda-Bollinger Bands, Ichimoku and ADX Candles in this chart. Time frame used is H4.


After touching low of 1.1715 on 27-Sep-2017, EURUSD currency pair started its upward journey. But that journey was short-lived as it was trading below Ichimoku cloud.
So, after facing tough resistance from Doda Bollinger Bands, it started its downtrend journey again, which was confirmed by Doda-Donchian @1.17757
So, it's time to short sell in this currency pair.
Major support and resistance levels are:
Support @:
1.17828
1.17687
1.17458
Resistance @:
1.18286
1.18427
1.18656
Make your stop loss @1.17759

EURUSD Forex Technical Chart | 06-Sep-2017

Today, we're going to analyze the technical chart of EURUSD currency pair. I'm using time frame H4 on Doda Donchian, Doda Bollinger Bands and Ichimoku technical indicators.


EURUSD Technical Chart
At the time of writing this article, EURUSD currency pair is trading @1.19616. Looking at Ichimoku indicator, it's clear that it is trading INSIDE cloud of Ichimoku indicator - which is termed as NO trading zone.
So, just wait and watch at this moment. It should either close above or close below the cloud to get the clear trend.
So, in next few hours, if it closes above 1.19344, take a long call on it.
On the other hand, if it closes below 1.18785, take the short call.
Important Support and Resistance Levels are:
Support Levels:
1.18794
1.18623
1.18347
Resistance Levels:
1.19347
1.19518
1.19795
I hope you understand my trading strategy with this article. If you've any doubts, please share in the comments section below.

NZDJPY Forex Currency Pair technical Chart | 30-Aug-2017

Let us analyze the forex currency pair NZDJPY today. I'm using my favorite technical indicators  - Doda Donchian, Doda Bollinger Bands and Ichimoku.


The time frame used is H4.
Although Doda-Donchian gave Buy signal @78.870 but at that time, it was trading below Ichimoku cloud. 
That means in a Bearish territory.
Also, the currency pair was below Doda Bollinger Bands.
That means the trading signal given by Doda-Donchian was the False signal.
But after it crossed Ichimoku cloud and enters the bullish territory and also above Doda-Bollinger Bands, there is no point in waiting here.
So, take a Buy call on this currency pair @79.686 for an immediate target of 80.018, which is its Resistance 2.
Other Support and Resistance areas are:
Support and Stop loss @79.518
Resistance @80.018 and @80.554

I hope you understand my trading strategy with this article. If you've any doubts, please share in the comments section below.