® Candlestick Course PDF Presented by Juan Maldonado Elliott Wave Street® Expert Elliott Wave Street ® a Registered Trademark of World Markets Academy LLC Miami - FL – United States https://elliottwavestreet.com/disclaimer/ https://elliottwavestreet.com/terms-and-conditions/ www.elliottwavestreet.com – support@elliottwavestreet.com - Copyright – Elliott Wave Street® - All rights reserved ® Japanese Candlesticks Origin of Japanese Candlesticks The charts represented by Japanese Candlesticks originate in Japan. Rice was used as "currency" The feudal lords kept the rice in warehouses in Osaka and traded coupons (guarantee receipts). Rice is the first futures market in history. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks High Upper wick Open Close Buyers in control. Sellers in control. Above green bullish opening. Below red bearish opening. Body The further the price moves away from the bullish opening, the stronger the bulls are. Lower wick Open Upward pressure: Buyers buying high to sell higher and/or bears are covering their positions. • • High Low The further the price moves away below the opening the stronger the bears are. Close Bearish pressure: Low Sellers selling low to cover lower and/or bulls are covering their positions. Every transaction is neutral; one seller and one buyer. The first trade of a candle is not bearish or bullish. The second trade determines the direction. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Range High to low = measures volatility Larger range = increased volatility Body – Color Green = Buying - Red = Selling Body – Size Opening to closing momentum/strength and commitment Wick – Location Lower = Buying - Upper = Selling Wick – Size Degree of Purchase o Sale The Close the most important price because amateurs open the market and professionals close the market. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Big Body 1 2 3 4 5 From more bullish to less bullish (left to right) www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Big Body 1 2 3 4 5 From more bearish less bearish (left to right) www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved Common Sense and Logic ® www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks One Candlestick Patterns ✓ Hammer ✓ Hanging Man ✓ Shooting Star ✓ Inverted Hammer ✓ Big Body www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Hammer • It happens at market lows after an extended bearish trend. • The lower wick should be bigger than two times the body size. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Hanging Man • It happens at market highs after a bullish trend. • The lower wick should be bigger than two times the body size. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Shooting Star • It happens at market highs after a bullish trend. • The upper wick should be bigger than two times the body size. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Inverted Hammer • It happens at market lows after an extended bearish trend. • The upper wick should be bigger than two times the body size. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Big Body Big Body Big Body Bulls have absolute control in that area of the market. Bears have absolute control in that area of the market. • The big body happens when the candle is large compared to the other candles in the area. • It is a candle of opportunity, and it can change the feeling of the market for the longer term. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Two Candlestick Patterns ✓ Bullish Engulfing ✓ Bearish Engulfing ✓ Bullish and Bearish Harami www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Bullish Engulfing • The first candle is red, and the second candle is green. • The second candle completely covers the body of the first candle. • Wicks are not considered. • Indicates a major reversal pattern, after an extended bearish trend.. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Bearish Engulfing • The first candle is green, and the second candle is red. • The second candle completely covers the body of the first candle. • Wicks are not considered. • Indicates a major reversal pattern, after an extended uptrend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Bullish Harami • The first candle is red, and the second candle is green. • The second candle opens higher than the previous candle close and closes lower than the previous candle's opening. • Wicks are not considered. • Indicates a major reversal pattern after an extended bearish trend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Bearish Harami • The first candle is green, and the second candle is red. • The second candle opens lower than the close of the previous candle and closes higher than the open of the previous candle. • Wicks are not considered. • Indicates a major reversal pattern after an extended bullish trend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Three Candlestick Patterns ✓ Morning Star ✓ Evening Star www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Morning Star • • • • • • The price is in a bearish trend. The body of the first candle is red The second candle is an indecision candle, usually a Doji. The third candle shows evidence that bulls have entered the market quite strongly. The bullish candle should close above 50% of the red candle. Indicates a major reversal after an extended bearish trend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Evening Star • • • • • • The price is in a bullish trend. The body of the first candle is green The second candle is an indecision candle, usually a Doji. The third candle shows evidence that the bears have entered the market quite strongly. The bearish candle should close below 50% of the green candle. Indicates a major reversal after an extended bullish trend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks One Candlestick Patterns ✓ Spinning Tops ✓ High Wave Candles www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Spinning Tops • Spinning Top is a small body candlestick. • The wicks are symmetrical, with upper and lower shadows of approximately equal length. • Spinning tops can happen during the bullish or bearish trend. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® High Wave Candles • The high wave candle happens at the market highs • The upper wick should be bigger than two times the body size. • The difference with the spinning top is the size of the wicks, were the high wave candles have more prominent tails. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Than Dangerous DOJI ✓ Doji ✓ Dragonfly Doji ✓ Gravestone Doji ✓ Northern Doji ✓ Southern Doji www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved Doji ® www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Dragonfly Doji Lower Shadow. Extremely bullish. At the start, the bears were in complete control, and then the bulls destroyed them. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Gravestone Doji Upper Shadow. Extremely Bearish. At the start, the bulls were in complete control, and then the bears destroyed them. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Two Candlestick Patterns ✓ Piercing ✓ Dark Cloud Cover www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Piercing • • • • Price is in a downtrend. The body of the first candle is red. The second candle is green and closes at 50% or higher of the red candle. Is less powerful than a bullish engulfing. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Dark Cloud Cover • • • • Downtrend. The body of the first candle is green. The second candle is red and closes at 50% or lower of the red candle. Is less powerful than a bearish engulfing. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks The Storytellers ✓ Tweezers ✓ Crows ✓ Soldiers www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Tweezers Two candles with the same High or Low. Tweezer Top and Dark Cloud Cover Tweezer Top and Harami Cross Tweezer Top and Hanging Man Patterns during the bullish trend www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Tweezers Two candles with the same High or Low. Tweezer Bottom and Hammer Tweezer Bottom and Harami Tweezer Bottom and Piercing Patterns during the bearish trend www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Three Black Crows Three consecutive bearish candles after a bullish trend, each closing below or near the low of the previous candlestick. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Three White Soldiers Three consecutive bullish candles after a bearish trend, each closing above or near the high of the previous candlestick. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Japanese Candlesticks Windows or Gaps ✓ Window ✓ Rising Window ✓ Falling Window www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Rising Window It's a continuation pattern. The Japanese say follow the direction of the window. EMPTY PRICE The Empty Price is a space where there were no trades. It works as a support. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Falling Window It's a continuation pattern. The Japanese say follow the direction of the window. EMPTY PRICE The Empty Price is a space where there were no trades. It works as a resistance. www.elliottwavestreet.com www.elliottwavestreet.com –– support@elliottwavestreet.com support@elliottwavestreet.com -- Copyright Copyright –– Elliott Elliott Wave Wave Street Street®® -- All All rights rights reserved reserved ® Questions? support@elliottwavestreet.com WhatsApp: +1 716 391 3515 Skype: juanmaldonadot71 www.elliottwavestreet.com – support@elliottwavestreet.com - Copyright – Elliott Wave Street® - All rights reserved
