chart, page-4

Nice find topwon,

I would prefer an engulfing white candle after a pullback. I will have to do some research to find out why it needs to be below the previous candle.


The third case of confirmation is rarely observed. The market opens with a big downward gap suggesting a very bearish day, and the day ends with a long white candlestick, but still closing below the previous day’s close. However, such a day satisfies the third confirmation criterion and in this case the closing price of the long white candlestick will be taken as the price of confirmation.