Added candlestick strategy

candlestick/index.rst

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    :caption: Table of Contents

candlestick/matchinglow.rst

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+Trade Reversals with Confidence: Harnessing the Power of the Matching Low Candlestick Pattern in Forex
+=======================================================================================================
+
+Introduction
+-------------
+
+In the world of Forex trading, where price movements hold the key to profit, understanding and utilizing candlestick patterns can be a game-changer. One such pattern that has gained significant attention is the Matching Low candlestick pattern. With its potential for signaling trend reversals, the Matching Low pattern has become a valuable tool for traders seeking opportunities in the market. 
+
+This post delves into the intricacies of the Matching Low candlestick pattern, exploring its recognition and the psychology behind its formation. By unraveling the pattern's secrets, traders can enhance their ability to make informed trading decisions and potentially increase their chances of success in the Forex market.
+
+
+Recognizing the Matching Low Candlestick Pattern
+------------------------------------------------
+
+The Matching Low candlestick pattern is a powerful technical formation that provides valuable insights into potential trend reversals in the Forex market. By understanding its key characteristics and formation criteria, traders can effectively identify this pattern and make informed trading decisions.
+
+The Matching Low pattern is characterized by two consecutive candlesticks, typically appearing during a downtrend. The first candlestick is a bearish candle, signaling selling pressure and a prevailing bearish sentiment in the market. The second candlestick, however, opens and trades lower than the previous candle but closes at or near the same level as the first candle. This equal or near-equal closing price is what gives the pattern its name.
+
+To recognize the Matching Low pattern, traders look for specific criteria:
+
+    1. Consecutive Bearish Candles: The pattern starts with a bearish candle, indicating a downtrend in the market.
+
+    2. Second Candle with a Lower Low: The second candle must open and trade lower than the previous candle, reflecting continued selling pressure.
+
+    3. Equal or Near-Equal Closing Price: The second candle closes at or near the same level as the first candle, suggesting a potential shift in market sentiment.
+
+When these criteria are met, the Matching Low pattern is considered to be in formation. Its visual representation on Forex charts can vary, but the key elements remain the same.
+
+By recognizing the Matching Low candlestick pattern, traders can gain valuable insights into potential trend reversals, allowing them to adjust their trading strategies accordingly.
+
+Understanding the Psychology behind the Matching Low Candlestick Pattern
+-------------------------------------------------------------------------
+
+
+The Matching Low candlestick pattern holds valuable insights into the psychology of market participants and their shifting sentiments. By comprehending the psychological factors behind this pattern, traders can gain a deeper understanding of its significance and make more informed trading decisions.
+
+    1. Buyer-Seller Interaction: The Matching Low pattern reflects a battle between buyers and sellers in the market. Initially, there is a strong selling pressure represented by the first bearish candle. This indicates a prevailing bearish sentiment as sellers dominate the market.
+
+    2. Shift in Market Dynamics: As the second candle opens lower and continues to trade lower, it reinforces the existing bearish sentiment. However, the key psychological aspect occurs during the candle's price action. Despite the lower trading, buyers step in and push the price back up, resulting in a close near or at the same level as the previous candle.
+
+    3. Market Sentiment and Price Reversal: The equal or near-equal closing price of the second candle signifies a potential shift in market sentiment. It suggests that buyers are stepping in, showing interest and strength in the market. This shift from a bearish sentiment to a more balanced or bullish sentiment can be a precursor to a price reversal or a pause in the downtrend.
+
+    4. Support Level Validation: The Matching Low pattern often occurs near a significant support level, adding to its psychological significance. The support level acts as a psychological barrier where buyers perceive value and are more likely to enter the market. When the pattern forms near this level, it validates the importance of support and reinforces the potential for a price reversal.
+
+By understanding the psychology behind the Matching Low candlestick pattern, traders can gauge the sentiment shift from bearish to more balanced or bullish. This insight allows them to anticipate potential price reversals or temporary pauses in downtrends, aiding in their decision-making process and enhancing their trading strategies.
+
+
+Paramters for the backtests
+----------------------------
+
+For this particular analysis, we worked with the following parameters:
+
+   -  Starting balance: $10,000
+   -  Margin: 1:100
+   -  Commission: None
+   -  Testing period: From January 1, 2020, to December 31, 2022
+   -  Timeframe: 15 minutes
+   -  Currency pair: EURUSD
+   -  Data Source: Dukascopy 
+
+
+Backtesting and evaluating the Matching Low pattern
+----------------------------------------------------
+
+Backtesting the Matching Low candlestick pattern by going long on the bullish Matching Low, while testing different exit strategies, is an essential step in evaluating the effectiveness of this trading approach. Through the application of historical price data and the establishment of specific trading rules, traders can simulate trades based on the occurrence of Matching Low patterns.
+
+This process allows them to assess the profitability and robustness of the strategy. By conducting backtesting across various exit strategies, traders can gain valuable insights into the potential profitability and risk management aspects associated with trading the Matching Low candlestick pattern.
+
+**Buy Rules**
+
+1. Identify the bullish Matching Low candlestick.
+
+
+**Results**
+
+.. image:: /_static/results/matchinglow-candlestick.png
+   :target: /_static/results/matchinglow-candlestick.png
+   :width: 1080
+   :height: 500
+   :alt: Matching Low Candlestick Results
+
+
+Backtesting the Matching Low candlestick and Pivot Points strategy
+-------------------------------------------------------------------
+
+In our rigorous testing, we've explored two versions of this strategy that we can't wait to share with you. But that's not all - we're also going to push the boundaries and test it across a range of diverse exit strategies. Before we delve deeper, let's take a moment to introduce the pivot points that play a pivotal role in our analysis. The pivot points we use are:
+
+- `Traditional <https://www.tradingview.com/chart/?symbol=SP%3ASPX&solution=43000521824>`_
+
+- `Caramillia <https://www.tradingview.com/chart/?symbol=SP%3ASPX&solution=43000521824>`_
+
+- `Dm <https://www.tradingview.com/chart/?symbol=SP%3ASPX&solution=43000521824>`_
+
+- `Fibonacci <https://www.tradingview.com/chart/?symbol=SP%3ASPX&solution=43000521824>`_ 
+
+*Version 1*
+
+**Buy Rules** 
+
+1. Close of the bullish Matching Low must be above the resistance pivot point.
+
+
+**Results**
+
+.. image:: /_static/results/matchinglow-candlestick-and-pivot-point-version-1.png
+   :target: /_static/results/matchinglow-candlestick-and-pivot-point-version-1.png
+   :width: 1080
+   :height: 500
+   :alt: Matching Low Candlestick and Pivot Point 1 Results
+
+
+
+*Version 2*
+
+**Buy Rules** 
+
+1. Close of the bullish Matching Low must be below the support pivot point.
+
+**Results**
+
+.. image:: /_static/results/matchinglow-candlestick-and-pivot-point-version-2.png
+   :target: /_static/results/matchinglow-candlestick-and-pivot-point-version-2.png
+   :width: 1080
+   :height: 500
+   :alt: Matching Low Candlestick and Pivot Point 2 Results
+
+
+Source Code
+-----------
+
+Here is the link to the source code for this https://github.com/zeta-zetra/code.