A Big Green or Big Red Candle is characterized by a single candlestick with a relatively large body indicating a strong bullish or bearish momentum in the market respectively.
(Fig 1.1 - Big Green and Big Red)
Key characteristics include:
Large Body: The body of the candlestick is notably large, indicating a significant price movement during the given time period. The size of the body suggests strong buying (for Green) or selling (for Red) pressure throughout the period.
Minimal or Absent Upper and Lower Wick: In a Big Green Candle, the upper wick (or shadow) is either very small or completely absent, indicating that the price closed at or near the high. Similarly, the lower wick (or shadow) is also very small or non-existent, suggesting that the low for the period was at or near the open. Vice versa for Big Red.
A Big Green Candle is a bullish signal, suggesting strong buying interest and potential continuation of the upward trend. It often occurs after a period of consolidation or a pullback in price, indicating a resurgence of bullish momentum. Vice versa for Big Red pattern as mentioned above.
Please click on "Next Post" to move to the next Candlestick Pattern - Hammer or Reverse Hammer.
Comentarios