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Significance Of The Morning Star Pattern 🌟The ‘morning star’ candlestick pattern is effective in a downward trending market and signals bullish trend reversal on the charts. 🌟The significance of the pattern increases if the third day’s opening is below a support area and close is above the support area. If the third candle is a bullish marubozu or candle with no upper or lower shadow, it speaks of the more bullishness. Its importance is even more if it is accompanied by increased volume.

Formation Of The Morning Star Candlestick Pattern 🌟The morning star pattern appears at the bottom end of a down trend. The pattern is formed by combining three consecutive candlesticks. The first candle is a bearish candle, second candle is indecisive in nature and third candle is bullish in nature. The second candle should generally be either a doji or a spinning top candlestick. The morning star pattern signals a reversal in the trend, from bearish to bullish.

one more pattern relaTED TO THIS IS MORNING STAR PATTERN

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🌟There are no perfect entries:🌟 🔽Breakouts may fail 🔼Pullbacks may never come 😊Confirmation may be too late 🔼🔽Pullbacks may become a reversal But the good news is this, you don't need perfect entries to make it as a trader🙌

There are 5 possible outcomes for your trade: 1. Breakeven 2. Small win 3. Small loss 4. Big win 5. Big loss Eliminate #5 and you’ve just taken a big step forward.

NZDUSD Despite the small size of New Zealand, the small island nation has an abundance of natural resources. However, the country’s significant agricultural presence is what attracts the “commodity currency” label. Unlike the Canadian dollar or Australian dollar, the NZD isn’t typically tied to the fluctuations of one commodity. Rather, the currency is affected by a basket of commodities and is one of the top exporters of milk, meat, and fruits.🥛🍤🥟🍐🍎

AUDUSD Australia is one of the world’s largest exporters of gold. Like oil exports heavily influence the Canadian dollar, the Australian dollar is at the mercy of the country’s gold exports. Why does this matter?🧐 It matters because investors tend to flock to gold during times of economic unrest. And if the Australian dollar tracks gold prices, then there’s a good chance that the Aussie will also capitulate during hard economic times.

USDCAD💰 ⭕️The US dollar versus the Canadian dollar is one of the more sensitive commodity currency pairs. ⭐️This sensitivity is due to the vast amount of natural resources that flow from Canada, much of which makes its way to the United States. 🛢Among these natural resources is oil, which is a primary export for Canada and one that is vital to the health of the global economy. 😳In fact, Canada exports over 2 million barrels a day to the US alone. 🔥This high dependency on the commodity as an export makes the Canadian dollar vulnerable to fluctuations in the price of oil. ✅This relationship means that when oil rises🔼 the Canadian dollar strengthens.🔼 Conversely, when oil depreciates🔽 so too does the CAD.🔽 💲Because the CAD is our quote currency in USDCAD (remember, it’s the second in the pairing), the currency pair has an inverse correlation to oil.↕️