- This topic has 259 replies, 256 voices, and was last updated 2 years, 9 months ago by
.
-
Posts
-
When the todays opening is way below than the yesterdays closing and the stock manages to cover more than 50% of yesterdays body with significant strength, and if manages to cross the both days high next day, buy position should be created.
trend reveral pattern.
body should cover the previous day low
should cover atleast 50% of previous day body
upper tail for bullish trend and lower tail for bearish trend shud not be big
It is a reversal trend pattern .
For bear to bullish reversal as shown in the bottom after a bear candle there is gap down open, body of the current handle should cover at least 50% of the previous body , Upper tail should not be very big. Day’s close will be positive.
For a bull to bear reversal it will be opposite.
The Latest Green Body Should Cover the Previous Day Low
The Bull Body Should Cover At Least 50% of Previous Day
The Upper Tail Should Not be Very Big, Volume may Increase At the Piercing Day
Create Long Position When Price crosses the Higher of Last Two Days
For Short Position Above Conditions are reverseePiercing pattern means the body should cover the previous day low, the candle stick body should cover at-least 50% of the previous day body, the upper tail is not big, it is powerful when it appears after a price fall with volume indicates trend reversal. Buy the stock when it breaks the last 2 days high, sell the stocks when it breaks the last 2 days low.
- You must be logged in to reply to this topic.
