BLACK
OPENING MARUBOZU | Type: | Reversal/Continuation |
| Relevance: | Bearish |
| Prior Trend: | N/A |
| Reliability: | Low |
| Confirmation: | Required |
| No. of Sticks: | 1 |
Definition:
The Black Opening Marubozu is a single candlestick pattern characterized by a long black body, a lower shadow and absence of upper shadow. It is a strongly bearish candlestick pattern.
Recognition Criteria:
1. A Black Opening Marubozu has a lower shadow.
2. The day opens and prices go below the opening price. Prices continue to move down all day thus forming the long black body.
3. The closing price is below the opening price but not at the low of the day that gives us the lower shadow.
Explanation: The Black Opening Marubozu is a single candlestick pattern characterized by its long black body, displaying a shadow on the closing side but no shadow on the opening side. This shows that the day opened and prices continuously went down but they did not close at the low of the day and thus they created a lower shadow. It is a day for bears and such a bearish rally should cause concern among the bulls.
Important Factors:
A Black Opening Marubozu may be interpreted either as the initial phase of a bearish continuation pattern or it may also signal a bullish reversal depending on the preceding day's candlesticks.
In the case of an uptrend, a Black Opening Marubozu is called as a Bearish Belt Hold Pattern.
The Black Opening Marubozu is a single candlestick pattern with low reliability. It only reflects one day's trading and may be pointing either continuation or reversal. Hence it must be considered with other candlesticks to better judge the direction of the trend.
The Black Opening Marubozu is a single candlestick pattern characterized by a long black body, a lower shadow and absence of upper shadow. It is a strongly bearish candlestick pattern.
Recognition Criteria:
1. A Black Opening Marubozu has a lower shadow.
2. The day opens and prices go below the opening price. Prices continue to move down all day thus forming the long black body.
3. The closing price is below the opening price but not at the low of the day that gives us the lower shadow.
Explanation: The Black Opening Marubozu is a single candlestick pattern characterized by its long black body, displaying a shadow on the closing side but no shadow on the opening side. This shows that the day opened and prices continuously went down but they did not close at the low of the day and thus they created a lower shadow. It is a day for bears and such a bearish rally should cause concern among the bulls.
Important Factors:
A Black Opening Marubozu may be interpreted either as the initial phase of a bearish continuation pattern or it may also signal a bullish reversal depending on the preceding day's candlesticks.
In the case of an uptrend, a Black Opening Marubozu is called as a Bearish Belt Hold Pattern.
The Black Opening Marubozu is a single candlestick pattern with low reliability. It only reflects one day's trading and may be pointing either continuation or reversal. Hence it must be considered with other candlesticks to better judge the direction of the trend.
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