Dark Cloud Cover

Dark Cloud Cover

In candlestick charting, a bearish indicator in which a large black candle (representing a loss on the trading day) follows a large white candle (representing a gain on the previous trading day). The close of the current trading day must be about halfway between the opening and closing prices of the previous trading day. This is represented on the chart by drawing the bottom of the black candle next to the middle of the white candle. A dark cloud cover may represent the reversal of a previous bullish trend, and technical analysts look for confirmation in the following day's trading.
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The last down leg marked by a Dark Cloud Cover candlestick pattern appears to be losing steam at the channel bottom and upward correction is possible from here to test the channel top, now at 96.
Details the most valuable aspect of technical analysis-reversal patterns-as well as reversal signals, including the Doji, the Hammer, the Hanging Man, Engulfing Patterns, and Dark Cloud Cover
Technical positioning looks favorable of a return to downward momentum, however, with prices showing a Dark Cloud Cover bearish reversal candlestick pattern following a test of support-turned-resistance at a rising trend line established from the lows in January.
The bearish bias noted following the Dark Cloud Cover setup we saw in early June has not been violated and we will remain short, looking for prices to take out the range bottom at 1.
My picks: Remain short EURUSD Expertise: Global Macro, Classic Technical Analysis Average Time Frame of Trades: 1 week - 6 monthsLast week, the EURUSD followed up a Dark Cloud Cover bearish reversal formation with a confirmed break of support at the lower boundary of a rising channel that had confined the latest upswing from late April.
Prices now look to have established a medium-term top, putting in a Dark Cloud Cover bearish reversal candlestick formation and following through with a close below support at the lower boundary of a rising channel that has guided price action higher since late April.
A Dark Cloud Cover setup has now emerged, and negative divergence with the RSI oscillator continues to bolster the downside scenario.
Short-Term Technical Outlook Spain's benchmark index has reversed sharply lower after showing a Dark Cloud Cover candlestick formation breaking below support at the bottom of a rising channel formation.
Short-Term Technical Outlook Spain's benchmark index looks to be reversing lower, showing a Dark Cloud Cover candlestick formation ahead of the 95000 level.
Prices are showing a Dark Cloud Cover candlestick pattern, a strong indication of a bearish reversal in the days ahead to form a double top.