Perfect Entry & Exit PointsAfter finding appropriate RSI and MACD entry points, traders benefit from analyzing key candlestick formations.
Below are the candlestick reversal formations detailed in this chart.
Candlestick Formations:
Two Black Gapping : appears after a notable top in an uptrend, with a gap down and two red bars.
It predicts lower lows with an accuracy of 68%.
Three Black Crows: Bearish Three Black Crows shows reversal near the high of an uptrend.
It can trap bulls seeking further momentum, or irrationally exuberant buyers (FOMO).
It predicts the decline to a lower low with 78% accuracy.
Bearish Evening Star: Starts at a long green or white bar, that carries an uptrend to a new high.
Make sure low volume follows, with smaller hammer-like bar.
Predicts lower price with 72% accuracy.
Abandoned Baby: Appears at the low of a downtrend, after a series of lower lows.
As it gaps lower, no new sellers appear.
This triggers recovery at 70% accuracy rate.
Abandoned babies have a 70% chance of surviving if they're with G/god.
Twoblackgapping
Apple Inc. time for short sell?? Look at the chartTop companies like Facebook amazon Tesla Google etc. experienced very strong bullish movement for the last 10+ years.
I think that this rare candle stick pattern on weekly chart is suggesting bearish movement.
Two Black Gapping which according to the Bulkowski’s book it has probability of 68% that the market will follow the signal. When You will look at the chart it is very visible that the market has problems to go above this huge GAP.
ON monthly chart we see very nice Bearish Engulfing pattern
I see here good opportunity for short sell with probability of strong bearish move in the medium term.
I think 100 is reasonable TP area.
