Dark Cloud Cover
The Dark Cloud Cover is a top reversal pattern in manner of candlestick analysis. This high reliability pattern encountered after a bullish trend is a reversal signal. Dark Cloud Cover pattern consists of two days candlestick to formed.
After a long green candlestick formed on the first day the red candle should open above the close of the first day's green candle and also close below the midpoint of the first day's green candle.
Doji Star
The Doji Star creates indecision in the market. When the up trend is on his way this pattern indicates that the
trend will change.This pattern is formed by a green candlestick on the first day, Then we see Doji on the second day that gaps up and close near to it's opening level.
Traders requires wait for confirmation from the next candlestick. If close below the bottom half of the body of the first candlestick one can go for short.
Bearish Evening Doji Star
Bearish Evening Doji Star a three candlestick pattern signalling a major top reversal. It consists of three candlestick of first day's green followed by a Doji and then on third day's strong bearish red candlestick.n
The bearishness of the pattern formed on the first two candles is confirmed with the third day's red candle.
This pattern is more reliable and most often found on peak of the rallies.
Evening Doji Star exactly opposite to Morning Doji Star candlestick pattern.One can go short sell on the unerlying stock and stop loss can be placed above the high of second day's.
Bearish Evening Star
The pattern involves three candlestick with prior bullish trend. The Evening Star is opposite to Morning Star pattern and indicates a reversal signal at the end of an uptrend.
Pattern consists a green candlestick followed by a short candlestick on the 2nd day gaps higher but trade in small range. The bearishness is confirmed by the lower close of the third day's red candle.
Bearish Engulfing Pattern
On day one a small bullish candle is formed and on the second day a large bearish candlestick is formed which completely engulfs the green body of the preceding day.
One can initiate short sell below the confirmation level is defined as the last close and the last high as stop loss for the trade.
Bearish Harami
A Harami pattern gives a signal of loss of current bullish momentum and warn for reversal after bullish trend.
Harami means "pregnant" which is a Japanese word. If this pattern formed on the chart it will look like a pregnant woman.
Bearish Harami pattern consists two candlestick, A long green body observed on the first day with high volume that continues the prior up trend, On the second day trades in a small range within the previous day's real body and with low volume as compared to previous day and.
Bearish Harami Cross
Bearish Harami Cross is a major bearish reversal pattern it's consists two candlestick to formed the pattern.
A long green body observed on the first day that continues the prior up trend, On the second day trades in a small range and formed Doji pattern within the previous day's real body. This pattern is even more significant than a regular Bearish Harami.
Bearish Hanging Man
Hanging Man pattern characterized by a hammer that occurs after an bullish up trend is called "Hanging Man" and is a bearish signal. A single candlestick pattern that shows the long lower wick and a small real body at the upper end of the candlestick.
Shooting Star
The bearishness confirmed as the low of the candlestick and the stop loss level can placed at the last high.
Three Black Crows
Three Inside Down
As mentioned in the name this pattern consists three candlestick, The first two candle is look like a Harami Pattern. The bearishness of the Harami Pattern created with 1st two candle is confirmed on the 3rd day by this pattern. So we can see that Three Inside Down is a confirmed Bearish Harami pattern.
Three Outside Down
The bearishness of the Bearish Engulfing Pattern created with 1st two candle is confirmed on the 3rd day by this pattern. So we can see that Three Outside Down is a confirmed Bearish Engulfing pattern.
Candlestick graph with Green and Red color combination that represents Bullish and Bearish respectively.
