LONG WHITE CANDLESTICK
Definition
This candlestick implies relatively strong buying pressure, and shows that prices advanced during the day significantly from open to close and the buyers were aggressive.
Recognition Criteria
1. The body of the candlestick is white and long.
Candlestick Requirements and Flexibility
The white body of the candlestick should be longer relative to the other candlesticks on the chart. The lengths of the shadows are not important.
Trader’s Behavior
This candlestick is generally bullish. However, its position within the broader technical picture is also important. It may show a potential turning point and suggest that prices have reached a support level after an extended decline. If it is seen after a long and significant rally, it may point to excessive bullishness, and that prices are at dangerously high levels. Still, the candlestick alone is not reliable enough to decide the direction of the markets, since it reflects only one day’s trading.