How to recognize it
- Appears after an advance.
- The first candle is bullish.
- The second candle is bearish, and its body completely covers the first candle's body: it opens at or above the first close and closes below the first open.
What it suggests
The second session wiped out the previous session's gains and closed below where they began. Sellers took over within one candle.
Where it matters
Stronger at resistance, after an extended advance, and when the second candle is large and traded on higher volume.
Educational content only. Candlestick patterns describe past price action. They do not predict future prices, and they are not trading signals or investment advice. Prices in the diagrams are illustrative.