Dark Cloud Cover Oil Candlestick Pattern
Piercing Line Bullish Crude Oil Candle Patterns
A Piercing Line Oil Candle-Stick Pattern and Dark Cloud Cover Crude Oil Candle-Stick Pattern look alike but the difference is that one occurs at the top of a Oil Trading up oil trend (Cloud Cover) and the other occurs at the bottom of a downwards oil trend (Piercing).
Upward Oil Trend Reversal – Dark Cloud Cover Candles
Downward Oil 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 oil pattern that occurs at the bottom of a market downwards crude oil trend. It shows that the oil market opens lower and closes above the midpoint of the black body.
This shows that the momentum of the down oil trend is reducing and oil market oil trend is likely to reverse and move in an upward direction.
This oil pattern is shown known as a piercing line signifying the oil market is piercing the bottom showing a market floor for the crude crude oil price downward trading trend.
Piercing Line Candle
Technical Analysis Piercing Line Candlestick
A buy oil signal is confirmed once crude crude oil price closes above the neckline this is the opening of the candle on the left of the Piercing Line candle.
This is a bullish setup and crude crude oil price should continue moving upwards and for a oil trader who puts a buy oil trade should also place a stop loss oil order just below the lowest crude crude oil price level.
Dark Cloud Cover Candlestick
Opposite of piercing candle.
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 oil pattern that occurs at the top of an upwards crude oil trend.
It shows that the oil market opens higher and closes below the midpoint of the white body.
This shows that the momentum of the up oil trend is reducing and oil market oil trend is likely to reverse and move in a downwards direction.
This oil pattern is shown known as a cloud cover signifying the cloud as a ceiling for the crude crude oil price upwards trend.
Dark Cloud Cover Candle
Technical Analysis Dark Cloud Cover Candle
A sell oil signal is confirmed once crude crude oil price closes below neck-line which is the opening of the candle on the left of this candle.
This is a bearish setup and crude crude oil price should continue moving downwards and for a oil trader who puts a sell oil trade should also put a stop loss oil order just above the highest crude crude oil price level.