Side-By-Side White Lines |
Characteristic of Candlesticks: Reversal
Relevance of Candlesticks: Bullish
Prior Trend of Candlesticks: Bullish
Reliability of Candlesticks : Recommended
Confirmation of Candlesticks: Reliable
Candlestick Patterns Key Reference |
DESCRIPTION
Side-By-Side White Lines pattern is a candlestick formation similar to the Upside Tasuki Gap pattern. The only difference is that the third candlestick is a bullish.
Side-By-Side White Lines pattern is recognized by the second bullish candlestick which open with an upward gap above the previous bullish candlestick with the similar size.
Notice on the above diagram, the second and third bullish candlestick have the same opening price.
PATTERN RECOGNITION
1. Side-By-Side White Lines can be identified by an uptrend.
2. Refering to above diagram, we will see the first bullish candlestick.
3. Then we will see the next following bullish candlestick open with an upward gap above the previous bullish candlestick with the similar size.
4. Finally we will see the third bullish candlestick with the same opening price from the previous bullish candlestick.
EXPLAINATION
Notice the second and third candlesticks failed attempt to reverse an uptrend, hence the uptrend remains intact.
The first bullish candestick confirm an uptrend.
The second bullish candlestick open with a gap above the previous bullish candlestick and close higher.
The third bullish candlestick open at the same level as the previous bullish candlestick.
However the initial selling that caused the lower opening ended quickly and market rally again with another bullish candlestick. That shows that the bullish trend is still in control.
The Continuation Patterns imply that a trend has temporary paused and will continue its original trend rather than reversal.
POINT TO NOTE
The opening price of the second bullish candlestick and the third bullish candlestick are the same.
The reliability of this pattern is very high but still we need a confirmation in the form of a higher close or a gap up is suggested.
CANDLESTICK PATTERNS KEY REFERENCE
Irrespective of Color (Can be bullish or bearish) |
Uptrend |
Consolidation |
Downtrend |
ANTICIPATED DIRECTION OF TREND
Lighter Arrow = Lower Probability
Solid Arrow = Higher Probability
More Likely to go sideway, Less likely to rally
|
More likely to rally, Less likely to go sideways
|
More likely to go sideway, Less likely to fall
|
More likely to fall, Less likely to go sideways |
