Good sign of upcoming trends
Big players love both trending and non-trending price cycles. But when it comes to retail traders, the majority prefer to be in the trending cycle of price action for multiple reasons.
One of such good information is available in candles that have large wicks and shadows, and indicate the possible upcoming trend:
- Large wicks and shadows in multiple candles
- Multiple candles must have large wicks and candles
- These candles must be subsequent or near by to each other
- Both wicks and shadows must be there
- Wick size is nearly the same size as that of shadow in any candle
- Wick and shadow size can vary in different candles
- Here, large wick and shadow means size of wick + size of shadow > size of body
- Can form on any timeframe (trend will build on same time frame)
- Exception – No three candles must have higher lows or lower highs together
If you see formations of such patterns with large wicks and shadows, get ready to mint the money from the upcoming bigger moves.
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