BLACK
CANDLESTICK
| Type: | Reversal/Continuation |
| Relevance: | Indecision |
| Prior Trend: | N/A |
| Reliability: | Low |
| Confirmation: | N/A |
| No. of Sticks: | 1 |
Definition:
The Black Candlestick represents normal selling pressure.
Recognition Criteria:
1. The real body of this pattern is black with normal length.
2. The upper and lower shadows are smaller than the length of the real body.
Explanation: Selling pressure is indicated by a Black Candlestick. The pattern shows that prices declined from open to close during the day and sellers were in control throughout this process.
Important Factors:
Like most other single candlestick patterns the Black Candlestick has low reliability. It reflects only one day's trading and can be interpreted both as a continuation and a reversal pattern. The pattern must be used with other candlesticks for a better or healthier confirmation of a trend.
The Black Candlestick represents normal selling pressure.
Recognition Criteria:
1. The real body of this pattern is black with normal length.
2. The upper and lower shadows are smaller than the length of the real body.
Explanation: Selling pressure is indicated by a Black Candlestick. The pattern shows that prices declined from open to close during the day and sellers were in control throughout this process.
Important Factors:
Like most other single candlestick patterns the Black Candlestick has low reliability. It reflects only one day's trading and can be interpreted both as a continuation and a reversal pattern. The pattern must be used with other candlesticks for a better or healthier confirmation of a trend.
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