Bearish Candlestick IV

To end the issue of bearish candlesticks we need to to explain the following bearish candlesticks, Tri Star, Gravestone Doji (Haikashi or stoned), Belt Hold, Harami, Harami Cross, Tweezers Top.

Tri Star



After a long upward trend in the occurrence of three dojis shows an indecisiveness which will be the address to take the market. After this training follows a trend change normally.

The first shows a Doji indecision after a long uptrend. The second emphasizes that indecision Doji, Doji third andalusia purchases have lost momentum and control the market. Traders should note the following which should be candles candles bassists.

Fourth candle is needed to confirm the change, which should form a candle bearish for so long in this way know that the uptrend has ended.

Characteristics

• After an upward trend, three dojis (same price for opening and closing) will appear consecutively.

Gravestone Doji (Haikashi)



In an uptrend the Gravestone shows an unstable upward rally where prices were taken to new highs in the second candle, where the sellers took control of the market.

Although this training is a sign of weak to moderate itself is a warning to the buyer because the positions uptrend is losing momentum and may be a change of trend.

Traders look for confirmation in the third candle which should be a bearish candle. Such confirmation could appear in the form of an Evening Star

The Gravestone Doji is very similar to Doji Star, with the exception that the second candle is reflected with a Gravestone (Doji, with a maximum and a minimum price equal to the opening and closing) rather than a Doji. The Gravestone Doji is less reliable since the second candle has been an increase which may suggest that the bull market still has control, even despite the recent sale. While the Doji Star gives us a stronger signal of reversal.

Characteristics

• After an bullish uptrend is formed a candle which closes at the maximum.


• In the second we see a Doji candle (the open and close are identical). The upper shadow should be fairly long.


• The lower shadow should not exist or be very small.

Belt Hold



After a hike of candles upside, there is a strong bearish candle. The bearish candle opens at the price of most of the previous candle and shuts down much. The result is a long bearish candle with a small lower shadow or no shadow. This may mean that a fall is approaching.

This pattern tends to happen quite often but is not accurate to predict when the market will move in the following movements. On the other hand the significance of this pattern is obvious, has broken an uptrend due to the sharp decline in the candle. So the stronger the fall, the more likely there is change, but still must wait for a confirmation in the following candles.

Characteristics

• In an uptrend, there is a bearish candle.


• The bearish candle has an open that is very near of the high. With no shadow or a small lower shadow.

Harami



Haramis are characterized by an upward followed by a small bearish candle, also known as a star. The range of trade: the bearish candle inside the body of the previous candle. The meaning of this training is quite clear, after an upward trend, this has been hampered by a bearish candle.

The Haramis is a weak signal strength, though, because in an uptrend it is logical that they are leading to sales prices from the top down again. The closing of positions buyers could have caused this. Traders usually look to the following candles are bassists, but would not bet it.

Harami formation is very similar to the formation Engulfing with the exception that in the second Harami candle Trading no body below the previous candle. Because the sellers have failed to bring the price of the second candle below the middle of the body of the first candle which gives us a weaker signal.

If this occurs after formation of a bullish long-term uptrend, traders will give more importance to it.

Characteristics

• The first candle is a candle with the continuing upward trend.


• The second would be a little bearish candle, which would rank within the body of the first candle, over half of the body of the first.

Harami Cross




This formation is characterized by a bullish candle followed by a Doji that lies within the body of the first candle. So far this training quite consistent with the Doji Star Evening Doji we indicate that the range of motion was found nearby and hill candle andalusia andalusia same opening price. It suggests that after a strong upward movement the market has lost control. We expect a confirmation of trend change in the case appears a bearish candle.

Characteristics

• The first candle is a candle with the continuing upward trend.


• The second candle is a small candle completely within the body of the first candle.

Tweezers Top



The important element here is that the candles have the same maximum. This can happen in two consecutive candles as we see from the graph, or a series of non-consecutive candles.

After a prolonged uptrend, so we can give a weak signal of change, but how many traders will come to the candles then.

But the most useful for this training is that it creates an important resistance level. In any market, in trend or a range, the pattern will give us a level of resistance. The levels of resistance are ranges on the market that has difficulties in breaking with a bullish movement. So therefore the maximum price that the candles created a brand that share the market tried to break.