When I Buy, the Market Plummets... When I Sell, the Market Soars: Effective Solutions

Have you ever felt like the market is "playing tricks" on you? You just placed a buy order, and the price immediately falls. You sell, and the market skyrockets right after. It feels like someone is following your every move and doing the opposite. But don't worry, this isn't bad luck—it's because you haven't grasped the right timing. Most traders often make the mistake of buying at the resistance (resistance) and selling at the support (support) without realizing it. Instead of letting emotions dictate and reacting hastily to price fluctuations, you need to learn how to anticipate trend changes before they happen. Below is a detailed guide in Vietnamese on 5 powerful candlestick patterns to help you identify trend reversals on the 4-hour timeframe (4H), along with ways to avoid buying high and selling low. 5 Effective Reversal Candlestick Patterns (4H Frame) 1️⃣ Engulfing Candle (Engulfing Candle – Bullish/Bearish) Characteristics: A strong candle "engulfs" the previous candle completely in size. Meaning: Bullish Engulfing (: Appears after a downtrend, signaling the price is about to reverse upwards. This is a potential buy signal. Bearish Engulfing ): Appears after an uptrend, indicating the price may reverse downwards. This is a sell signal. Tip: Wait for the next candle to confirm the trend before placing an order. 2️⃣ Morning Star / Evening Star ( Characteristics: The pattern consists of 3 candlesticks, demonstrating the exhaustion of the current trend. Meaning:Morning Star )Morning Star(: Appears in a downtrend. Including: bearish candlestick → small body candlestick )do dự( → strong bullish candlestick. This is a buy signal. Star Today )Evening Star(: Appears in an uptrend. Including: bullish candlestick → small body candlestick → strong bearish candlestick. This is a sell signal. Note: This model is very reliable when combined with increased trading volume. 3️⃣ Hammer and Inverted Hammer )Hammer & Inverted Hammer( Characteristics: The candle has a long lower shadow, a small body, and a short or absent upper shadow. Meaning: Hammer ): Appears at the end of a downtrend, indicating that buying pressure is starting to emerge, signaling a bullish reversal. Inverted Hammer (: Also appears at the end of a downtrend, but with a longer upper shadow, still a bullish signal. Tip: Wait for the next candle to rise to confirm before taking action. 4️⃣ Shooting Star )Shooting Star( Characteristics: Opposite to the hammer candle, it has a long upper shadow, a small body, and a short or no lower shadow. Meaning: Appears at the peak of an uptrend, signaling that selling pressure is dominating, and the price may reverse to fall. Tip: Check the trading volume to confirm the actual selling pressure. 5️⃣ Doji Candle )Indecision Candle( Characteristics: The body of the candle is very small, with the opening and closing prices almost equal, and the candle wicks can be long or short. Meaning: It reflects market hesitation. If it appears at the end of an upward or downward trend ), it signals a potential reversal. However, one should wait for the next candle to confirm: After an upward trend + next candle is a bearish = sell signal. After a downward trend + next candle is a bullish = buy signal. Note: Do not trade based solely on Doji, confirmation is always needed. How to Avoid Buying High, Selling Low To avoid falling into the situation of "buying at the peak, selling at the bottom", you need to apply the following principles: Wait for confirmation: A beautiful candlestick pattern does not guarantee success. Let's wait for the next candle to confirm the direction of the price. For example, after the Bullish Engulfing candlestick, another bullish candle is needed to make sure of the uptrend. (Volume) Volume Test: A true reversal is usually accompanied by a spike in trading volume. If volume is weak, it could just be a market trap. Identify Support and Resistance Zones:Do not buy when the price is touching the resistance zone (nơi the price is usually pushed down).Do not sell when the price is in the support zone (nơi the price usually bounces lên). Use the trendline drawing tool or Fibonacci levels to find these zones. Patience is gold: Don't rush FOMO (sợ miss the hội) when you see price fluctuations. The best deals come to those who wait for clear signals. Practical Application Next time you're going to jump into a trade because of the "feeling," stop for a moment. Open the 4H frame chart, check the above candlestick patterns, combined with the support/resistance zone and trading volume. Trading is based on confidence and analysis, not emotions. With patience and discipline, you'll find yourself falling into "buy is down, sell is up" much less.