Litefinance A buy position is opened

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LiteFinance: Forex Patterns: Most Effective Chart Patterns in Forex |   when the third corrective candle closes and the fourth candle opens (Buy zone). Expected profits can be set in two ways: the classic rule suggests that you place the target profit when the price has passed a distance less than or equal to the length of the first candle in the pattern (trend candles) (profit zone 2), The second rule suggests that you place profit when the price reaches the level of the highest shadow of any of the candles in the pattern (profit zone 1). In this case, a stop loss can be placed at the level of the local low 3 of the pattern's correction candle (stop zone). What can be added? There are a number of rules that will help you use the pattern more efficiently and avoid common mistakes: 1.

The first candle (leg) cannot consist of more than 2 candles, ideal of course if there is only one candle. 2. The corrective candle should have bodies of equal size, the length of the shadow is not important. 3. The body of the  Belize Mobile Number List third corrective candle should not go below/above the middle of the first candle in the pattern. “Cube” graphic pattern (Golden Cube) The pattern is a candlestick pattern that consists of 4 candles and when it changes to a shorter time frame, it can often look like a sideways, flat channel. In classical analysis, the cube is classified as a trend continuation pattern, but in most cases it is a type of correction pattern, flat waves. The cube pattern consists, as a rule, of 4 consecutive candles of equal size and alternating colors.



The candles must be long enough to build a "Cube" geometric object. The pattern is also known as golden cube as 90% of similar patterns occur on the XAUUSD price chart. The principle of trading under the pattern is simple: when the fifth candle opens, after four candles of equal size, the transaction is opened, based on the color of the first candle in the pattern. If it is red (black) a sale is opened, if it is green (white), a purchase is opened. LiteFinance: Forex Patterns: Most Effective Chart Patterns in Forex |  Litefinance A sell position is opened when the fifth candle begins to form, after four cube candles (sell zone). The expected profits should be set when the price has passed a distance less than or equal to the length of the movement of the trend that operated in the market before the pattern formation began (profit zone).