Piercing Line Metals Candlestick Pattern

Piercing Line Bullish Metal Candlestick Patterns

A Piercing Line Metals Candle Pattern & Dark Cloud Cover Metal Candle Pattern look alike but the difference is that one occurs at the top of a Metals up metals trend (Cloud Cover) and the other occurs at the bottom of a downwards metals trend (Piercing).

Upward Metals Trend Reversal - Dark Cloud Cover Candles

Downward Metals Trend Reversal - Piercing Line Candles

Piercing Line Candlestick

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

White body pierces the midpoint of the prior black body.

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

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

This metals trading pattern is displayed referred to as a piercing line signifying the metal market is piercing the bottoms showing a market floor for the metals price downwards trend.

Piercing Line Candle

Technical Analysis Piercing Line Candlestick

A buy metals signal is confirmed once metals 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 metals price should continue moving upwards and for a trader who puts a buy metals trade should also place a stop loss metals order just below the lowest metals price region.

Dark Cloud Cover Candlestick

Opposite of piercing candle.

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

Black body pierces the mid point of the prior white body.

This is a bearish reversal metals pattern that forms at the tops of an upward metal trend.

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

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

This metals trading pattern is shown known as a cloud cover signifying the cloud as a ceiling for the metals price upwards trend.

Dark Cloud Cover Candlestick

Technical Analysis Dark Cloud Cover Candle

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

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