Piercing Line Commodities Trading Candlestick Pattern

Piercing Line Bullish Commodities Trading Candlestick Patterns

A Piercing Line Commodities Trading Candlestick Pattern and Dark Cloud Cover Commodities Trading Candlestick Pattern look alike but the difference is that one occurs at the top of a Commodity Trading up commodity trend (Cloud Cover) and the other occurs at the bottom of a downwards commodity trend (Piercing).

Upward Commodities Trend Reversal - Dark Cloud Cover Candlesticks

Downward Commodities Trend Reversal - Piercing Line Candlesticks

Piercing Line Candlestick

Piercing line is a long black body followed by a long white body candlestick.

The white body pierces the midpoint of the prior black body.

This is a bullish reversal commodity pattern that forms at the bottom of a market downward commodities trend. It shows that the commodity market opens lower and closes above the midpoint of the black body.

This shows that the momentum of the down commodity trend is reducing and the commodity market commodity trend is likely to reverse and move in an upward direction.

This commodity pattern is shown known as a piercing line signifying the commodity market is piercing the bottom showing a market floor for the commodities price downward trend.

Piercing Line Candlestick

Technical Analysis Piercing Line Candlestick

A buy commodity signal is confirmed once commodities price closes above the neckline which is the opening of the candlestick on the left of the Piercing Line candlestick.

This is a bullish setup and commodities price should continue moving upwards and for a commodity trader who puts a buy commodity trade should also place a stop loss commodity order just below the lowest commodities price level.

Dark Cloud Cover Candlestick

Opposite of piercing candlestick.

This candlestick is a long white body followed by a long black body.

The black body pierces the midpoint of the prior white body.

This is a bearish reversal commodity pattern that forms at the top of an upward commodities trend.

It shows that the commodity market opens higher and closes below the midpoint of the white body.

This shows that the momentum of the up commodity trend is reducing and the commodity market commodity trend is likely to reverse and move in a downward direction.

This commodity pattern is shown known as a cloud cover signifying the cloud as a ceiling for the commodities price upward trend.

Dark Cloud Cover Candlestick

Technical Analysis Dark Cloud Cover Candlestick

A sell commodity signal is confirmed once commodities price closes below the neckline which is the opening of the candlestick on the left of this candlestick.

This is a bearish setup and commodities price should continue moving downwards and for a commodity trader who puts a sell commodity trade should also put a stop loss commodity order just above the highest commodities price level.