ADVANCE BLOCK BEARISH
PATTERN : REVERSAL
TREND : BEARISH
RELIABILITY : Moderate
How to Identify it :
Three long white days occur, each with a higher close than the previous day
Each day opens within the body of the previous day and closes near the high of the day
Each days body is significantly smaller than the previous days body
The second and third days should exhibit long upper shadows
What it Means :
In an uptrend three long days occur with consecutively higher closes. This pattern is similar to the Three White Soldiers pattern, however, in this case, each successive day is weaker than the one preceding it. This suggests that the previous rally is losing strength, and preparing for a reversal.
In an uptrend three long days occur with consecutively higher closes. This pattern is similar to the Three White Soldiers pattern, however, in this case, each successive day is weaker than the one preceding it. This suggests that the previous rally is losing strength, and preparing for a reversal.
BELT HOLD
PATTERN : REVERSAL
TREND : BEARISH
RELIABILITY : LOW
How to Identify it :
A black body occurs in an uptrend with no upper shadow
What it Means :
In an uptrend, a black body occurs with an open that is also the high for the day. This may cause many positions to be sold, perpetuating a bearish reversal.
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