The Break Candle technique is a technical analysis method used to identify potential reversals in the price of a security, such as a stock or currency. It is based on the idea that a long candle with a high or low that "breaks" through the price level of a previous candle can signal a change in trend.
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To use the Break Candle technique, a trader looks for a candle on a chart that has a high or low that exceeds the high or low of a previous candle. This "break" through the previous price level can be seen as a sign of increased buying or selling pressure, which may indicate a trend reversal is imminent.
It's important to note that the Break Candle technique is just one tool among many that traders can use to try to forecast price movements. It should not be relied upon in isolation, and traders should always use caution when making investment decisions.
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