You are here: Home / Candlestick Trading / Reversal Patterns

Forex Tweezers Top Candlestick Pattern

October 24, 2010 By Raj Leave a Comment

Tweezers Top:

Tweezers Top Candlesticks

Tweezers Top Candlesticks

Tweezers Top Candlesticks

Tweezers Top Candlesticks

Type :  Reversal
Direction : Bearish
Prior Trend : Bullish
Reliability : Medium

Tweezers Top consists of two or more candlesticks with the same highs. That means the highest price of the candlesticks is same. This is a weak bearish reversal pattern.

How to identify Tweezers Top Pattern:

1)     The price is in a long uptrend.

2)     In the uptrend a bearish candlestick forms.

3)     The high of the bullish candlestick matches the high of the previous bullish candlestick.

This pattern creates resistance levels sharing the same high prices. Resistance levels are simply price ranges that the market has trouble to break. If the tweezers top appears at the extreme level of a market in an uptrend that could signal a price reversal.

Note: This is a weak pattern. Sometimes the tweezers top might result in a temporary price retracement. So always use some other indicators or chart formations to confirm the price reversal.

The following are some of the real time examples of tweezers top.

EURGBP Daily Chart Tweezers Top:

The following is the daily chart of EURGBP currency pair. You can see a tweezers top and the price reversed then.

EURGBP Daily Chart Tweezers Top

EURGBP Daily Chart Tweezers Top

GBPAUD Daily Chart Tweezers Top:

The following is the daily chart of GBPAUD currency pair. You can see a tweezers top and the price reversed then.

GBPAUD Daily Chart Tweezers Top

GBPAUD Daily Chart Tweezers Top

EURUSD Daily Chart Tweezers Top:

The following is the daily chart of EURUSD currency pair. You can see a tweezers top and the price reversed then.

EURUSD Daily Chart Tweezers Top

EURUSD Daily Chart Tweezers Top

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Weak Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Harami Cross Candlestick Pattern

October 24, 2010 By Raj Leave a Comment

Harami Cross:

Bearish Harami Cross Candlestick Pattern

Bearish Harami Cross Candlestick Pattern

Type :  Reversal
Direction : Bearish
Prior Trend : Bullish
Reliability : Medium

Bearish Harami Cross is a two candlestick pattern where the first candlestick is a strong bullish candlestick and then a doji forms which is occupied completely by the first bullish candlestick. A doji is a candlestick where the open and close prices are the same.

How to recognize the Bearish Harami Cross Candlestick Pattern:

1)      The trend is upwards

2)      A strong bullish candlestick forms.

3)      After the bullish candlestick a doji forms with the same opening and closing prices.

4)      The bullish candlestick completely occupies the doji.

The following are the some of the real time examples of the bearish harami cross candlestick pattern.

EURGBP daily chart bearish harami cross candlestick pattern:

The following is the daily chart of the EURGBP currency pair. The trend is upwards and then a doji is formed and completely with in the first bullish candlestick. The trend reversed then.

EURGBO Daily Chart Harami Cross

EURGBO Daily Chart Harami Cross

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Medium Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Shooting Star Candlestick Pattern

October 23, 2010 By Raj Leave a Comment

Shooting Star:

Forex Bearish Shooting Star Pattern

Forex Bearish Shooting Star Pattern

Type :  Reversal
Direction : Bearish
Prior Trend : Bullish
Reliability : Low

Bearish Shooting Star consists of a bullish or a bearish candlestick with a small body and a long upper shadow. This may contain a very little or no lower shadow at all.

How to recognize Bearish Shooting Star Pattern:

1)      The trend is upwards.

2)      A strong bullish candlestick forms.

3)      Then a bullish or bearish candlestick forms with a small body but with a long upper shadow.

4)      The upper shadow of the candlestick is generally two or more times than the body of the candlestick.

5)      The candlestick may contain a very little lower shadow or no lower shadow at all.

The following are some of the real time examples of the Bearish Shooting Star Pattern:

EURCAD hourly chart shooting star:

The following is the hourly chart of EURCAD currency pair and you can see a shooting star in that. Until then the price is in uptrend and then it reversed.

EURCAD Hourly Chart Shooting Star Pattern

EURCAD Hourly Chart Shooting Star Pattern

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Weak Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Harami Candlestick Pattern

October 23, 2010 By Raj Leave a Comment

Forex Bearish Harami Candlestick Pattern:

Bearish Harami Candlestick Pattern

Bearish Harami Candlestick Pattern

Type :  Reversal
Direction : Bearish
Prior Trend : Bullish
Reliability : Low

Bearish Harami Candlestick Pattern consists of two candlesticks in which the second candlestick is completely occupied by the body of the first candlestick. First a strong bullish candlestick forms in an uptrend. Then second candlestick opens with in the body of the first candlestick. The second candlestick closes below the opening price but closing above the opening price of the first candlestick thus forming a bearish candlestick. Generally in a Bearish Harami Pattern the shadows of the second candlestick are also inside the body of the first candlestick.

How to recognize the Bearish Harami Candlestick Pattern:

1)      The trend is upwards.

2)      A strong bullish candlestick forms in the uptrend.

3)      Then a bearish candlestick forms with both the opening and closing prices within the range of the body of the first candlestick.

4)      The upper and lower shadows of the bearish candlestick also lie within the range of the body of the first candlestick.

The following are some of the real time examples of the Bearish Harami Candlestick Pattern.

GBPNZD Daily Chart Bearish Harami Candlestick Pattern:

The following is the daily chart of GBPNZD currency pair. I have identified the bearish harami pattern. The prior trend is upwards and then a bearish harami candlestick pattern is formed and the trend reversed.

GBPNZD Daily Chart Bearish Harami Candlestick Pattern

GBPNZD Daily Chart Bearish Harami Candlestick Pattern

GBPCHF Daily Chart Bearish Harami Candlestick Pattern:

The following is the daily chart of GBPCHF currency pair. You can see the bearich harami candlestick pattern before which the trend is upwards and then the trend reversed.

GBPCHF Daily Chart Bearish Harami Candlestick Pattern

GBPCHF Daily Chart Bearish Harami Candlestick Pattern

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Weak Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Belt Hold Pattern

October 23, 2010 By Raj 1 Comment

Forex Bearish Belt Hold Pattern:

Bearish Belt Hold Pattern

Bearish Belt Hold Pattern

Type : Reversal
Direction : Bearish
Prior Trend : Bullish
Reliability : Low

Bearish Belt Hold Candlestick pattern is a weak bullish reversal pattern. It is a single candle stick pattern.

How to recognize the Bullish Belt Hold Patterns:

1) The market is in an uptrend
2) Then the market opens at its high and the price goes in the reverse direction of the trend.
3) A strong bearish candlestick forms with the price closing lower than the open not exactly at the low.
4) The bearish candlestick may contain a very little upper shadow or may not contain any upper shadow at all.

Some of the real time examples of Bearish Belt Hold Pattern:

The following is the four hour chart of AUDCAD. I have highlighted the bearish belt hold pattern. You can see the prior trend as uptrend and then a strong bearish candlestick formed with no upper tail at all and then the trend reversed.

AUDCAD Four Hour Chart Bearish Belt Hold Pattern

AUDCAD Four Hour Chart Bearish Belt Hold Pattern

The following is the daily chart of AUDUSD. You can see the bearish belt hold pattern. The prior trend is again upwards and then a strong bearish candlestick formed with no upper tail. The trend reversed from then.

AUDUSD Daily Chart Bearish Belt Hold Pattern

AUDUSD Daily Chart Bearish Belt Hold Pattern

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Weak Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Advance Block Candlestick Pattern

October 23, 2010 By Raj Leave a Comment

Bearish Advance Block:

Bearish Advance Block Candlestick Pattern

Bearish Advance Block Candlestick Pattern

Type:  Reversal
Direction: Bearish
Prior Trend: Bullish
Reliability: Medium

Bearish Advance Block candlestick pattern is characterized by three bullish candlesticks with each candlesticks closing price is higher than the opening price. But the body of each candlestick is relatively smaller than the body of the previous candlestick. The last two candlesticks also show longer shadows.

How to recognize the Bearish Advance Block Candlestick Pattern:

1)     The market is characterized by an uptrend

2)     Three bullish candlesticks appear.

3)     The body of each candlestick is relatively smaller than the previous candlestick

4)     The last two candlestick contain longer shadows.

This pattern is a medium bearish pattern. You can use other indicators like Stochastic, CCI etc to predict the price reversal.

The following are some of the real time examples of bearish advance block pattern.

GBPJPY Daily Chart Bearish Advance Block Pattern:

The following is the daily chart of GBPJPY. You can see the three candlesticks I have highlighted in the picture. The prior trend is upwards and three bullish candlesticks formed with each candlesticks closing price higher than the closing price. Moreover the last two candlesticks have longer tails.

GBPJPY Daily Chart Bearish Advance Block Candlestick Pattern

GBPJPY Daily Chart Bearish Advance Block Candlestick Pattern

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Medium Bearish Reversal Patterns Tagged With: , , , ,

Forex Bearish Evening Star Format

October 16, 2010 By Raj Leave a Comment

Evening Star:

Evening Star Format

Evening Star Format

Type: Reversal
Direction: Bearish
Prior Trend: Bullish
Reliability: High

Evening star is a strong reversal pattern and is a three candlestick pattern. The first candlestick is a strong bullish candlestick. The second candlestick is small bullish or bearish candlestick. The third candlestick is a strong bearish candlestick.

How to recognize evening star format:

1)     The price is in a bullish trend.

2)     A strong bullish candlestick forms.

3)     After the bullish candlestick, a candlestick with small body either bullish or bearish forms.

4)     After a strong bearish candlestick forms.

Some of the real examples of an evening star format:

EURJPY Daily Chart:

The following is the daily chart of EURJPY. You can see the evening star and the price reversal.

EURJPY Daily Chart Evening Star

EURJPY Daily Chart Evening Star

CHFJPY Daily Chart:

The following is the daily cahrt of CHFJPY. You can see the evening star and the price reversal.

CHFJPY Daily Chart Evening Star

CHFJPY Daily Chart Evening Star

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Strong Bearish Reversal Patterns Tagged With: , , ,

Forex Evening Doji Star Candlestick Format

October 15, 2010 By Raj 1 Comment

Evening Doji Star:

Evening Doji Star Format

Evening Doji Star Format

Type: Reversal
Direction: Bearish
Prior Trend: Bullish
Reliability: High

Evening Doji Star is a strong reversal pattern. It is a three candlestick pattern where in the first candlestick is a bullish candlestick with very little shadows and then the second candlestick is a doji that forms at the close of the first bullish candlestick and then a strong bearish candlestick forms with little shadows. This pattern appears like a bearish abandoned baby format but in abandoned baby format the doji forms well above the close of the bullish candlestick. In Evening Doji Star format the doji forms at the close of the bullish candlestick.

How to recognize Evening Doji Star Format:

1)      The price is in an uptrend.

2)      A bullish candlestick forms in an uptrend.

3)      After the bullish candlestick a doji forms at the close of the candlestick.

4)      After the doji a bearish candlestick forms.

5)      The bearish candlestick penetrates well into the bullish candlestick.

The following are some of the real time examples.

The following is the GBPCAD daily chart. You can see an evening doji star and the price reversal.

GBPCAD daily chart evening doji star

GBPCAD daily chart evening doji star

The following is the AUDUSD daily chart. You can see the evening doji star and the price reversal.

AUDUSD daily chart evening doji star

AUDUSD daily chart evening doji star

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Strong Bearish Reversal Patterns Tagged With: , , ,

Forex Bearish Abandoned Baby Pattern

October 15, 2010 By Raj Leave a Comment

Abandoned Baby Pattern:

Bearish Abandoned Baby Pattern

Bearish Abandoned Baby Pattern

Type: Reversal
Direction: Bearish
Prior Trend: Bullish
Reliability: High

Forex Bearish Abandoned Baby Pattern is a very rare pattern. This pattern generally occurs after a significant uptrend. It is a three candlestick pattern consisting of a strong bullish candlestick and then a doji and then a strong bearish candlestick. But generally the doji forms well above the bullish candlestick. It looks similar to a bearish evening doji star pattern but in this pattern the doji occurs well above the bullish candlestick but in the evening doji star pattern the doji forms at the close of the bullish candlestick pattern.

How to recognize forex bearish abandoned baby pattern:

1) The price is in a significant uptrend.
2) A strong bullish candlestick forms with small tails compared to the body of the candlestick.
3) After the strong bullish candlestick a doji forms with open and close prices almost the same. The doji forms well above the bullish candlestick close price.
4) After the doji a strong bearish candlestick forms with small tails compared to the body of the candlestick.
5) The bearish candlestick penetrates well into the bullish candlestick.

The following are some of the real time examples of the bearish abandoned baby pattern.

AUDJPY Daily Chart:

The following is the daily chart for AUDJPY currency pair. You can see an abandoned baby formation in an uptrend and the price reversed.

AUDJPY Daily Chart Abandoned Baby In An Uptrend

AUDJPY Daily Chart Abandoned Baby In An Uptrend

USDCAD Daily Chart:

The following is the USDCAD daily chart. You can see an abandoned baby pattern in an uptrend and the price reversal.

USDCAD Daily Chart Bearish Abandoned Baby Pattern

USDCAD Daily Chart Bearish Abandoned Baby Pattern

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Strong Bearish Reversal Patterns Tagged With: , , ,

Forex Tweezers Bottom Candlestick Pattern

October 15, 2010 By Raj Leave a Comment

Tweezers Bottom:

Tweezer Bottom Candlesticks

Tweezers Bottom Candlesticks

Tweezer Bottom Candlesticks

Tweezers Bottom Candlesticks

Type:  Reversal
Direction: Bullish
Prior Trend: Bearish
Reliability: Low

Tweezers Bottom consists of two or more candlesticks with the same lows. That means the lowest price of the candlesticks is same. This is a weak bullish reversal pattern.

How to identify Tweezers Bottom Pattern:

1)     The price is in a long down trend.

2)     In the down trend a bullish candlestick forms.

3)     The low of the bullish candlestick matches the low of the previous bearish candlestick.

This pattern creates support levels sharing the same low prices. Support levels are simply price ranges that the market has trouble to break. If the tweezers bottom appears at the extreme level of a market in a downtrend that could signal a price reversal.

Note: This is a weak pattern. Sometimes the tweezers bottom might result in a temporary price retracement. So always use some other indicators or chart formations to confirm the price reversal.

Examples:

EURCAD Four Hour Chart:

The following is the EURCAD four hour chart. If you observe the chart you can see that the trend was down and tweezers bottom was formed and the trend was reversed.

EURCAD Four Hour Chart Tweezer Bottom

EURCAD Four Hour Chart Tweezer Bottom

GBPUSD Four Hour Chart:

The following is the four hour chart of GBPUSD and you can see the tweezers bottom.

GBPUSD Four Hour Chart Tweezer Bottom

GBPUSD Four Hour Chart Tweezer Bottom

EURJPY Hour Chart:

The following is the picture of tweezers bottom formed in an hourly chart of EURJPY currency pair.

EURJPY Hourly Chart Tweezer Bottom

EURJPY Hourly Chart Tweezer Bottom

VN:F [1.9.8_1114]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.8_1114]
Rating: 0 (from 0 votes)
Filed Under: Weak Bullish Reversal Patterns Tagged With: , , , , ,
« Older Posts