Piercing Pattern
Piercing pattern is multiple candlestick chart pattern that is formed after a downtrend indicating a bullish reversal.
It is formed by two candles, the first candle being a bearish candle which indicates the continuation of the downtrend.
The second candle is a bullish candle which opens gap down but closes more than 50% of the real body of the previous candle which shows that the bulls are back in the market and a bullish reversal is going to take place.
Traders can enter a long position if the next day a bullish candle is formed and can place a stop-loss at the low of the second candle.
Below is an example of a Piercing Candlestick Pattern:
Piercing Pattern in Hindi पियर्सिंग कैंडलस्टिक पैटर्न
PATTERN दो CANDLES को मिलके बनता है ये मंदी के बाद BOTTOM में बनता है, पहला CANDLE लाल यानि BEARISH होता है और दूसरा हरा CANDLE GAP DOWN ओपन होता है और पिछले CANDLE के BODY के 50% ऊपर जाके CLOSE होता है, इससे भाव ऊपर जाने वाला है ऐसा सकेत मिलता है।
Piercing Pattern in Hindi
