Stock Investment Learning

What is Bull Sash?  A Bull Sash pattern occurs when a bullish candlestick (usually a white or green candlestick indicating price increase) completely engulfs the previous bearish candlestick (usually a black or red candlestick indicating price decrease). • Formation: 1)The second candlestick opens lower than the first but closes higher, surpassing the open and close of the first candlestick. 2)This suggests a reversal in market sentiment from bearish to bullish. Significance: 1)The pattern indicates strong buying pressure and often signals a potential reversal to an upward trend, especially after a downtrend. 2)It suggests that bulls (buyers) have gained control, overpowering the bears (sellers). Key Points for Recognition: Location: Often found at the end of a downtrend or during a period of consolidation. Volume: Higher trading volume during the formation strengthens the reliability of the pattern. Confirmation: Traders typically wait for the next candlestick to confirm the uptre...

Swing trading is a capture short- to medium-term price movements in financial instruments such as stocks, commodities, or currencies. Swing traders typically hold their positions for a few days to a few weeks, focusing on taking advantage of "swings" in price trends, whether upward (bullish) or downward (bearish).   Characteristics of Swing Trading: Time period: Positions are generally held longer than day trading but shorter than long-term investing means 2 to 15 days.   Technical Analysis : Swing traders rely heavily on charts, patterns, and indicators (e.g., moving averages, Bollinger band RSI, RS, MACD) to identify potential entry and exit points.    Market Trends : They aim to trade in the direction of the overall trend or during periods of consolidation when price fluctuations occur within a defined range.   Risk and Reward : Swing traders seek to maximize gains from short-term price movements while managing risk through tools like stop-loss orders....