Neutral Patterns
Neutral Patterns
Example
The following chart of Corn illustrates several Japanese candlestick patterns and principles.
You can see that advancing prices are usually accompanied with empty lines (prices opened low and closed higher) and that declines are accompanied with filled-in lines (prices opened high and closed lower).
Bearish engulfing lines occurred at points "A" and "B" (and prices subsequently moved lower). Bullish white lines occurred at points "1," "2," and "3" (as prices moved higher).