Piercing Line Candlestick Pattern

The Piercing Line candlestick pattern is a reversal formation that occurs in downward trends and usually indicates a possible change from bullish to bearich trends. This pattern has a high reliability and can be identified as follows:
  • This formation is only formed during downtrends.
  • The first candle is always a big black candle (bearish).
  • The next candle should open below the low of the black candle.
  • The white candle of the next period should close at least above the midpoint of the real body of the black candlestick.
Piercing Line Candlestick Pattern