Doji Stock Candles Pattern and Marubozu Candles Pattern
Indices Doji Consolidation Candlestick Pattern and Stock Index Marubozu Continuation Candlestick Pattern
Depending on the size & shape of a candle it is possible to identify the momentum of buyers or sellers. Likewise it is also possible to identify underlying weakness of the buyers and sellers.
Long Body Candles
Candles with long bodies show that there were a lot of buyers or sellers, depending on the color of the candle.
When price makes and forms a big movement from the opening price to the closing price it shows the momentum of buyers or sellers.
Long Blue Candlesticks - Strength of Buyers
Long Red Candlesticks - Strength of Sellers
Long Body Candles
Short Body Candles
Candlesticks with short bodies show that there weren't so many buyers/sellers & the price didn't move much from the opening price to the close price.
These show that the buyers or sellers were not very strong.
Short Body Candles
Marubozu Candle
Marubozu are long candlesticks that have no upper or lower shadows, Like shown and illustrated below.
Marubozu Candlesticks
Marubozu are continuing candle patterns that show stock trading price is going to continue in the same direction as that of the marubozu candlestick. The marubozu can be white/blue or black/red depending on the direction of the market price trend.
Marubozu Candles
White marubozu - the open is also the low & the close also is the high.
Marubozu means there were no retracements during that stock trading price period & hence shows that buyers were in full control of the trading price.
White Marubozu is a continuation pattern meaning that the next candlestick is likely to continue in same upward trend direction.
Black marubozu - the open is also the high & the close is also low.
Marubozu means that there were no retracements and therefore shows that sellers were in total control of the trading price.
Black Marubozu is a continuation pattern meaning the next candlestick is likely to continue in same downward trend direction.
Get More Topics:
- How Do You Analyze Indices Charts using Trend Lines?
- Moving Average MA Index Cross-over Trading
- DJ30 Strategy How to Develop Strategy for DJ30 Training Course
- Bollinger Band Width Stock Index Technical Indicator Analysis
- How to Draw Indices Trend lines Analysis
