Candlesticks Flashcards

1
Q

What is a Black Marubozu?

A

A long black body with no shadows on either end.

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2
Q

What does a Black Marubozu mean?

A

weak, bearish continuation or bullish reversal pattern

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3
Q

A long black Marubozu could mean?

A

a final sell off

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4
Q

What is a White Marubozu?

A

A long white body with no shadows at either end.

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5
Q

What does the White Marubozu mean?

A

Strong line, bullish continuation or bearish reversal

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6
Q

What does a closing Marubozu look like?

A

No lower shadow because the close is at the bottom of the body

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7
Q

Does it matter what color the CLOSING or OPENING body are?

A

No

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8
Q

What if the Closing Marubozu is white?

A

There would be no UPPER shadow because the close is at the top of the body

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9
Q

What if the Closing Marubozu is Black?

A

No lower shadow because the close is at the bottom.

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10
Q

What is the Black Marubozu considered?

A

A weak line, bearish

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11
Q

What is the White Marubozu considered?

A

A strong line, bullish

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12
Q

What does an OPENING Marubozu looks like?

A

No shadow extending from the opening price end.

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13
Q

What if the Opening body is WHITE?

A

There will be no lower shadow/Bullish

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14
Q

What if the Opening body is BLACK?

A

There would be no UPPER shadow/Bearish

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15
Q

Is the OPENING Marubozu stronger than the CLOSING Marubozu?

A

No

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16
Q

What is a Spinning Top?

A

A candlestick with an Upper and Lower shadow that is greater than the length of the body.

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17
Q

What dose the Spinning Top represent?

A

Indecision between the Bulls and the Bears.

18
Q

What is a DOJI?

A

When the candle line is so small that the open and close prices are equal

19
Q

When does a DOJI occur?

A

When the opening and closing are the “same” for that day.

20
Q

What does it mean if the DOJI occurs alone?

A

There is an indecision and must not be ignored.

21
Q

A DOJI preceeded by a long white day means what?

A

It is an uptrend that suddenly stops.

22
Q

What do DOJI’S indicate?

A

A change of trend when they occur at the tops instead of the bottoms.

23
Q

What is a Long legged DOJI?

A

Has a upper and lower shadow and in the middle of trading day means indecision of buyers and sellers.

24
Q

When does a Gravestone DOJI appear?

A

Develops AT or very near the LOW of the day.

25
Q

What does it mean if the UPPER shadow is very long?

A

This is called a Gravestone DOJI, and it means that the buyers and sellers could not agree on the prices

26
Q

What is the difference between a Gravestone DOJI and a Shooting Star DOJI?

A

Only difference is the Shooting Star has a small body and the Gravestone DOJI has NO body.

27
Q

What is a Dragonfly DOJI?

A

Occurs when the opening and close are at the high of the day.

28
Q

When would the Dragonfly DOJI normally appear?

A

At the market turning points.

29
Q

What is a Four Price DOJI?

A

When all four price components come together and are equal.

30
Q

What are the Four Price components?

A

high,low open,close

31
Q

When does the Four Price occur?

A

When the stock is very Illiquid or the data source did not have any prices other than the close.

32
Q

When does the Star DOJI appear?

A

When a small body gaps above or below the previous day’s long body.

33
Q

What does the Star DOJI indicate?

A

Uncertainty

34
Q

What are the Star DOJI apart of?

A

Primarily reversal patterns

35
Q

What are Paper Umbrellas

A

They represent strong reversal implications

36
Q

What are the name of the two Umbrella lines called?

A

The Hammer and the Hanging Man depending on their location in the trend of the market

37
Q

What represents a strong reversal implication

A

Paper umbrellas

38
Q

What has upper and lower shadows and means indicision of the buyers and sellers?

A

A long legged DOJI

39
Q

What is it called when a stock is illiquid?

A

A four star DOJI

40
Q

What is it called when a candle line is so small and it means the open and close prices are equal?

A

A DOJI

41
Q

What happens at the market price turning point?

A

A dragonfly DOJI will appear