This is a classic pattern that has formed with Edelwiess. This dark cloud cover pattern meets all the criteria that you would look for while trading such patterns.
1. The previous white candle body is long
2. There is a recent spike in volumes in the earlier trading ranges
3. The previous white candle has a gapped up opening
4. Stochastics are at an overbought position
5. The dark candle opens much above previous days trading range
On the lighter side, when stocks are featured in major news channels, it is a good time to take the opposite position in the markets.
1. The previous white candle body is long
2. There is a recent spike in volumes in the earlier trading ranges
3. The previous white candle has a gapped up opening
4. Stochastics are at an overbought position
5. The dark candle opens much above previous days trading range
On the lighter side, when stocks are featured in major news channels, it is a good time to take the opposite position in the markets.
Trade active:
Downward trend has started
