Other hair-turning patterns

This chapter discusses more reversal patterns, some of which are usually (but not always) a reversal signal, so they are weaker reversal signals. These patterns include the form of the pregnancy line, the flat head shape and the flat bottom shape, the belt candle, jumping up and down two crows, the counter candle line and so on. In addition, there are a number of strong reversal signals, including three crows, Sanshan morphology, three-chuan shape, round Top, garden top bottom, tower-shaped bottom, etc.

Pregnancy Line Form

As shown in the form of a harami line, where the latter candlestick is smaller and is contained in a relatively long previous entity. In this form, the long candle is the "female" candle, while the small candle is the "child" or "tyre" candle.

The order of the two candlesticks is reversed, compared with the engulfing pattern. In engulfing form, the back is a long entity that covers a small body in front of it. In the form of the pregnancy line, the former is a very long entity, which will contain the latter small entity. In engulfing patterns, the solid color of the two candle lines should be different. In the form of the pregnant line, this is not a necessary condition.

According to Western theory, if the high and low prices of a day are in the interior of the price range of the previous days, then this day is a contraction day . However, the Western technical analysis theory that the contraction of the day usually does not have the above predictive significance.

In contrast to other reversal patterns, such as hammer lines, hanging or engulfing patterns, the pattern of the pregnancy line forms a reversal signal that is usually less important than theirs. When the form of the pregnancy line appears, as if the market brake pedal is trampled down, so the current market trend is over, then, the market often into a calm state.

Cross Pregnancy Line Form

The so-called cross-pregnancy pattern , refers to the pattern of the pregnancy line, the next day is a cross, rather than a small body. Because the cross-pregnancy pattern contains a strong cross-candle, this type of pattern is considered the primary reversal signal. The cross-pregnancy line is also known as a sluggish pattern.

As a general rule of thumb, the smaller the second entity, the more powerful the whole pattern is in the form of a pregnant line. Because the smaller the second entity, the more contradictory the market is, the more likely it is to become a trend reversal.

flat top shape and flat bottom shape

The flat shape is made up of two candle lines with the highest point of almost the same level, or two candle lines with almost the same minimum. This pattern is called a flat shape because the ends of these candlesticks are as flat as a pair of tweezers ' legs.

In the rising market, a flat head shape is formed when the highest point of several candlesticks is equal.

In the declining market, when the lowest point of a few candles is basically consistent, a flat bottom pattern is formed.

Examples of flat head shape and flat bottom pattern:

Other hair-turning patterns