Bullish Candlestick IV

To end the issue of bullish candlestick we need to explain the following formations, Tri Star, Belt Hold, Gravestone Doji, Tweezers Bottom.

Tri Star

In a long bear market, bearish trend shows weakness as the bodies of the candles are becoming increasingly smaller, and in some cases are formed when three consecutive dojis.

A Doji candle indicates a hesitation, as neither buyers nor sellers have been able to take the closing price beyond the opening price. This usually happens in the common market where the range of motion is usually very short vacations or holidays. But after a prolonged bearish trend or during periods with large price movements in a number of dojis indicate a change in trend. Traders usually look for when buying after the formation of Tri Star

Characteristics

• After a bearish trend.
• dojis appear (with the same opening price and closing), which appear consecutively.

Belt Hold

After a fall down with candles, formed a bullish candle. The candle opens below the previous candle and closes below with a short lower shadow or no shadow. This change of direction may mean there may be a shift. Traders look for confirmation in the following candles, which should be the upside.

This training typically occurs frequently but is difficult to predict the trend will continue. The meaning of this training is evident, the bearish trend has been broken due to a strong upward movement. So the bigger the candle bullish (green), the stronger the likelihood of a shift. But even so traders should expect the following candles to confirm the change.

Characteristics

• In a bearish trend, a bearish candle.
• bullish candle has an opening price is close to the minimum day.

A small lower shadow

• (lower shadow) or none.

Gravestone Doji (Haikashi)

The Gravestone Doji is also known as Haikashi or stoned. In a bearish market trend, buyers make a rally in the price, but can not close the candle above the opening price.

Although this training is weak in signal strength, causing the rally in the shadow higher Gravestone Doji is a warning sign for the selling positions of bearish trend is losing momentum and that change is possible.

Psychology of Gravestone Doji

Any Doji candle by standard has the closing at or near of the closing price of the candle. The Gravestone Doji has a higher shadow indicate that there has been a rally in the price as long as the candle Trading. Traders observe the following candles to verify that buyers have taken control of the market. If the following day stay above the Gravestone Doji, that suggests closing sales positions with which the bear market will weaken further. Many traders see the weakening of the market began to buy, which would produce a shift. This training is recommended for firmente wait for a confirmation signal change.

Gravestone Doji and Inverted Hammer

The Inverted Hammer is very similar to Gravestone Doji, with the exception that the second candle is a small body but a Doji. The Gravestone Doji is more reliable than the Inverted Hammer.

Characteristics

• The first candle is a candle to confirm a bearish bearish trend, closing to a range of trade: close to the lowest minimum.
• The second candle is a Gravestone Doji, which has the same opening price to closing, but the shadows in the upper range of the body of the candle before.
• The shadow bottom of the second candle should not exist or be very small.

Tweezers Bottom

This pattern is the important point that we will see a series of candles that have the same minimum (low). This could be two candles as shown in the example above or a number of candles that are not consecutive.

After a long downhill movement, this pattern can give us a weak signal of change in trend, but traders looking for confirmation of that change.

It is more useful as training creates a resistance level. In any market, in trend or a certain range, this training creates a level of support because the candles have the same minimum (low). Support levels are price ranges that the market tends to try to break.

Characteristics

• In a bearish trend, the first candle will be a bearish candle (red) without shade lower (shaved bottom).

The second candle

• hammer is a bullish (green) or with a Doji long upper shadow (long upper shadow).