Content
Hammer Candle ------------------------------------------------------------ 2
Strong Candle -------------------------------------------------------------- 3
Spinning top Candle ------------------------------------------------------ 4
Doji --------------------------------------------------------------------------- 5
Trend ------------------------------------------------------------------------- 5
Common Level ------------------------------------------------------------- 8
Gap Level ------------------------------------------------------------------- 12
Overlap Level -------------------------------------------------------------- 13
Engulfing Pattern ( Level ) ----------------------------------------------- 15
Piercing Line & Dark Cloud Cover ( Level ) --------------------------- 19
Inside Bar & Outside Bar ( Level )--------------------------------------- 22
Bullish Hammer Level ---------------------------------------------------- 25
Bearish Hammer Level --------------------------------------------------- 25
Spinning Top Level ------------------------------------------------------- 26
Morning Star & Evening Star Level ------------------------------------- 27
M and W Pattern Level --------------------------------------------------- 30
Head and Shoulder Level ----------------------------------------------- 31
All Chart Patterns --------------------------------------------------------- 32
Day #1
* THERE ARE FOUR TYPES OF CANDLES IN THE MARKET
1. Hammer Candle
2. Strong Candle
3. Spinning Top Candle
4. Doji Candle
1. Hammer Candle
Important Levels
NOTE: - The opening and closing of any candle is a level
Type of Hammer Candle
2. Strong Candle
Compare
Last
Candle
50% Strong Level
Type Of Strong Candle
Marubozu Candle
50% Strong Level
NOTE: - 50% level of a strong candle is a strong level
Type Of Marubozu Candle
3. Spinning Top Candle
Important Strong Level
Type Of Spinning Top Candle
3. Doji Candle
Strong Level
Type of Doji Candle
Doji Gravestone Dragonfly Four Price
NOTE: In any doji, the party making the wick can be strong if the
trend is towards the party making the wick.
* TREND
Uptrend Downtrend
LL
NOTE: When a level breakout from the body of the
candle, then that level will be considered a breakout.
Day #2
1. Common Levels
2. Gap Level
3. Overlapping Levels
1. Common Levels
A. Horizontal Level
NOTE: There should be maximum touch points for the common level and there
should not be body break of any candle.
Common Level
B. Trendline Common Level
NOTE: Instead of a 45 to 90-degree trendline, the trendline between 0 to 45
degrees will respect any levels more.
Common Level
2. Gap Levels
Gap Level
NOTE: The gap level is only in the candle of the same color
2. Overlap Levels
Overlap Level
NOTE: The Overlap level is only in the candle of the same color
Day #3
1. Engulfing Pattern
2. Piercing Line & Dark Cloud Cover
3. OutSide Bar & Inside Bar
NOTE: If the market is in an uptrend and if the market is
coming by creating HL, then the first target of the market
will be to break HH similarly, after creating the market LH
in a downtrend, its first target will be to break the LL.
NOTE: For more accuracy, trade should always be done in impulsive
waves only.
NOTE: If a pattern is created on the top of the corrective wave and the
market is coming without retesting that pattern, then that corrective
wave can come only up to 50% of the impulsive wave or will reverse
before that. But if the market is coming after retesting the pattern,
then the market can reach the lower support and can also break the
support.
1. Engulfing Pattern
NOTE: This is a continuation pattern.
A. Bullish Engulfing
This level is only useful for retest.
Power Of Level
( 50% )
( 75% )
50% Strong Level ( 100% )
Market Support Level
B. Bearish Engulfing
Market Resistance Level
50% Strong Level ( 100% )
( 75% )
( 50% )
Power Of Level
NOTE: Although the 50% level is the strongest level, you
can ignore the other levels if you wish.
NOTE: Other Engulfing Type Candle.
Gap Engulfing
(1) (2)
NOTE: Gap up and gap down should not be too much. and
candles should be healthy.
NOTE: If we consider the previous candle of the engulfing candle
as 100%, then the closing of the engulfing candle should be
between 101% to 149% of the previous candle, only then the
engulfing pattern will be valid.
NOTE: If the engulfing candle engulfs the body of the previous
candle then also this pattern will be engulfing pattern, it is not
necessary to engulf the wicks of the previous candle to be
engulfing pattern
NOTE: These engulfing patterns will not be valid
2. Piercing Line & Dark Cloud Cover
NOTE: This is a fake breakout pattern
A. Piercing Line
50% level of the red candle
50% level of the green candle ( Strong Level )
Market Support Level
NOTE: For this pattern to be valid, it is necessary that the
second candle closes above the level broken by the
previous candle and also above the 50% level of the
previous candle.
NOTE: The 50% level of the 2nd candle is the strongest
level in this pattern. And the 2nd candle can form from
51% to 100% of the previous candle
B. Dark Cloud Cover
Market Resistance Level
50% level of the Red candle ( Strong Level )
50% level of the Green candle
NOTE: For this pattern to be valid, it is necessary that the
second candle closes below the level broken by the
previous candle and also below the 50% level of the
previous candle.
NOTE: In Piercing Line and Dark Cloud Cover patterns, the
market does not require retest, the market goes without
retest.
NOTE: Other Piercing Line & Dark Cloud Cover.
Market Level
50% of previous candle
A. Piercing Line B. Dark Cloud Cover
3. Inside Bar & OutSide Bar
A. Inside Bar B. Outside Bar
Candle Level Zone
NOTE: By the way, this level zone is no trade zone because
the market reverses from anywhere in this zone.
Candle Level Zone
NOTE: We will consider Inside Bar & Outside Bar only when there
is momentum of at least three healthy candles after the
formation of this pattern, and in uptrend the closing of that
momentum should be below the low of the previous candle, and
in a downtrend, The closing of that momentum should be above
the high of the previous candle.
NOTE: Three Candle Rejection Pattern
Level
Day #4
Single Candlestick Level
1. Bullish Hammer Level
2. Bearish Hammer Level
3. Spinning Top Level
NOTE: The 5-minute trend will be important for 1-minute trade.
1. Bullish Hammer Level
C
Single Candlestick Important Retest Level
O
Double Candlestick Important Level
Hammer
50% Level
C
O
Inverted Hammer
2. Bearish Hammer Level
O
C
50% Level
Hammer
Double Candlestick Important Level
O Single Candlestick Important Retest Level
Inverted Hammer
NOTE: Single candlestick levels work more in a sideways markets.
1. Spinning Top Level
C
O Important Level
Important Level
C
O
O
C Important Level
Important Level
O
C
Day #5
Multiple Candlestick Level
1. Morning Star & Evening Star Level
2. Inside bar & Outside bar Level
NOTE: The 5-minute trend will be important for 1-minute trade.
Power Of Level :-
HH, HL, LH, LL Level
Chart Pattern Level
Level Power Increase
Triple Candlestick Level
Double Candlestick Level
Single Candlestick Level
NOTE: gap up, gap down and overlap levels will be in between.
1. Morning Star & Evening Star Level
Morning Star
Level Importance
Level Importance
(3)
(1)
(2) (2)
(1)
NOTE: The 50% level of the green candle is to be taken only when
this candle is an averagely stronger candle than the previous 10
candles, but if the green candle is weak then its 50% level is not
to be taken.
NOTE: When the market comes back
from above, it can take a reversal
from these levels.
NOTE: The wick side of the middle candle should not be above the
body of both candles, only then this pattern will be valid.
NOTE: If the middle candle in this pattern is green then the
accuracy of this pattern will increase slightly.
NOTE: When a strong candle appears in any pattern, the 50%
level of the strong candle will always be an important strong
level.
Evening Star
50% Level
1. Inside bar & Outside bar Level
Levels of this pattern are given on page 22.
NOTE: If two-three patterns are formed in the market
simultaneously, then there the market will mostly follow the
trend or else the market will turn sideways.
NOTE: Gap level and overlap level always work in the market,
even after going far away.
Green Candle 50% Level
Morning Star
NOTE: The green 50% level is more important than the gap level
in this above chart because the gap level is formed on the left
side of the green candle and the level of the green candle is a
newer level than the gap level.
NOTE: When immediately after the closing of a candle, another
candle starts forming on the opposite side, then the first candle
can be an Exhaustion candle.
NOTE: If a candle does not reach the target in the first 30 seconds
of opening, then the candle will try to touch the target for sure in
the next 30 seconds, but if the candle has touched the target in
the first 30 seconds, then the candle may form the opposite. If a
candle has not been able to achieve the target the first time,
then it will try to achieve that target next time.
NOTE: The market never completes " V and FFLL " against the
trend (full feel last leg -FFLL ).
NOTE: If there is a gap down after a strong candle, then that gap
down is done by the opposite party because the party of the
strong candle does not need to gap down because the party of
the strong candle is already very strong.
Day #6
Chart Pattern Level
1. M - Pattern & W - Pattern
2. Head and Shoulder & Inverted Head and Shoulder
1. M - Pattern & W - Pattern
NOTE: For the M and W pattern to be valid, it is necessary that
this pattern should consist of at least 5 or more candles.
M Pattern
Common Level
B
Neckline Common Level
A( 1 )
A( 2 )
Level Importance
NOTE: In the M pattern, when the market moves from top to
bottom, its target is to break the neckline (A) and when the
market moves from bottom to top, its target is to break the
neckline (B).
W Pattern Level Importance
A( 2 )
A( 1 )
Neckline Common Level
B
Common Level
1. Head and Shoulder & Inverted Head and Shoulder
Head and Shoulder
Common Level
Body Neckline Common Level Neckline
NOTE: In This pattern, when the market moves from top to
bottom, its target is to break the Wick Common Level neckline
and when the market moves from bottom to top, its target is to
break the Candle Body neckline. all same as the M pattern.
Inverted Head and Shoulder
Common Level Neckline Body Neckline
Common Level
W
