How to Find Mother Candle

Actually there are several ways to know a candle can be said to be a Mother Candle but here we will focus on only one way, a mother candle is a candle with high and low shadow conditions for the next four candles. We call it the Radar Mother Candle (MC) technique.

“What is a Mother Candle?”

In fact, there are many who teach Mother candle, but it is not satisfactory to teach and does not give a clear understanding of whether a candle can be said to be a mother candle and a failed mother candle. That's why sood explains Mother candle that sood once studied. Mother candle with 4 forms of candle shadow as the main condition for the formation of this pattern and 3 candles as a signal we can make an entry

MC = Mother Candle
C = Candlestick

(C0) is formed when Candle 1, Candle 2, Candle 3, Candle 4 are in the C0 = Mother Candle area. This is the initial condition where we can say the Mother Candle has been formed.

Mother Candle Method

In this Mother Candle technique we will use a breakout trading technique against the shadow of the Mother candle such as "Open when the price breaks the Resistance area or when the price breaks the Support area of the Mother candle."

B= BREAK

the setup above has B1 B2 B3, the new Mother Candle is VALID if there is a BREAKOUT on the B1 B2 B3 candle. But if it's not like the picture above then setup MC Failed

The setup above is an example of a Valid MC Breakout Setup where B1 managed to break the High of the Mother Candle. A solid setup must break first and clearly is no exception to this setup

Some tips to consider in using this technique :

️- Don't trade in the Support and Resistance Zone

️- If the SnR Zone is near the close of the Master candle, there is no need for entry

️- Only trade when B1 B2 B3 Candle breaks or breaks High/Low of Mother Candle

️- Master Candle Size 30-105 pips (Size is high and low calculated from
shadows)

️- If the size of the mother candle is smaller or larger than the range, it's better not to entry

How to Open Buy Setup :

Open when the price moves 5 pips above the High mother candle. To better understand, look at the picture, open buy when the price breaks 5 pips which is on the green line.

How to Open Sell Setup :

Open when the price moves 5 pips below the low. To better understand, look at the picture. Open sell when the price breaks 5 pips which is on the purple line.

How to Exit Profit Targets :

To determine the profit target is the size of the Mother candle itself. If the size of the mother candle is 35 pips, so we set a minimum TP of 35 pips according to the size of the Mother candle.

SL Placement :

This stop loss is a safe loss, don't forget to use it if you don't want to lose more when our setup is wrong. For the SL set on this technique 30pips

BREAKOUT AND REJECT

In trading, breakout is one of the important things that every trader needs to know and learn.

This is because most of the techniques used for trading use only 2 concepts, namely BREAKOUT and REVERSAL.

To determine that REVERSAL has occurred also requires the occurrence of a BREAKOUT.

When we learn about BREAKOUT, we will indirectly learn some things about REVERSAL.

Example of breakout buy setup technical

Breakout buy setup in real chart

Example of breakout sell setup technical

Example of breakout sell setup technical

Can we consider BREAKOUT if only with shadows ??

The answer is CAN’T. Breakout must occur by means of a close candlestick body
exceeding the highest price before or the lowest price before.

See an example below :

REJECTION & BREAKOUT BUY SETUP

REJECTION & BREAKOUT SELL SETUP

So, the conclusion is that BREAKOUT can only occur after the body candlestick closes past the previous highest or lowest price.

If we want to use the shadow as a BREAKOUT signal, we need to go to a lower timeframe until we find a candlestick that manages to close above the previous highest or lowest price.

This method is very risky because the smaller the timeframe used, the more risk of "false signal".

How to want to Mark Zone for Pair xxxUSD xxxJPY :

⚜ xxxUSD :

Must Mark On Body Candlestick U

⚜ xxxJPY :

Must Mark On Shadow Candlestick

Marking Zone For Pair xxxUSD

STEP 1

⚜ HOW TO MARK BUY ZONE FOR Pair xxxUSD ONLY

⚜ CANDLES ONLY✅