Friday, May 11, 2012

White Candlestick

White Candlestick_NeutralWHITE CANDLESTICK
Type: Reversal/Continuation
Relevance: Indecision
Prior Trend: N/A
Reliability: Low
Confirmation: N/A
No. of Sticks: 1

The White Candlestick represents normal buying pressure.

Recognition Criteria:
1. The real body of the pattern is white with normal length.
2. The upper and lower shadows are smaller than the length of the real body.

White Candlestick shows buying pressure. It shows that prices advanced from open to close during the day and buyers were in control.

Important Factors:
The White Candlestick is not a reliable pattern like most other single candlestick patterns. Only one day’s trading is reflected in a White Candlestick. Hence it has potential to be interpreted as a continuation pattern as well as a reversal pattern. The neighboring candlesticks must be taken into account to have a healthier decision if the trend is continuing or not.


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