Care to explain to a noob what is the meaning of

lucacrebbe

Active Trader
Jun 26, 2017
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Hello can you please explain what is the meaning of this candle?

I have uploaded the pic.

I am talking about the ninths the tenth candle before the first blue arrow

Start counting from the first blue arrow to go back.

Just count 9 -10 candles.

As you can see in the image, the ninth and the tenth canlde back from the first blue arrow are somenthing I do not understand.

We have a long shadow upon a candle and then the price of the next session is way far high if compared to the previous candel close.

What is the name of this pattern? What does it mean? Is it a bullish signal?

after this the price goes to stagnation
 

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lucacrebbe

Active Trader
Jun 26, 2017
108
1
32
43
That's a price gap on a daily chart. It was probably caused by some news related to the stock in question released during the market off-hours.

thank you.

As you can see there was a long UP shadow, which probably means that the bulls were beaten by sellers, and then there has been some kinda of ''good new'' relating to that stok, which caused the price to go up (GAP)?

After the gap there is stagnation... so the news was not good at all?
 

Enivid

Administrator
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Nov 30, 2008
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Odesa
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There can be many reasons for the upward spike before the gap. One of them could be some rumors leak before the news.

After the gap there is stagnation... so the news was not good at all?

Perhaps, it was good enough to launch the price up, but not good enough to produce a sustainable trend.

You could google the company's name around those dates and read more about the situation.