A Body Reversal (BR)
A Body Reversal is formed on the day prices close past the body of the previous candle.
A BR down takes place when today’s close is lower than the opening price of the previous white candle or the close of the previous white candle.
A BR upwards takes place when today’s close is higher than the opening price of the previous black candle or the close of the previous white candle.
|
The closing price of the last candle is below the body of the previous candle. The size of the body is of no interest. Instead of comparing the latest (or any) candle with the candles just before it, we now compare the Trending Candles in the chart to get buy and sell signal.
|
|
Related
Links:
|
