Candlesticks-chart-patterns-and-price-action

Can anyone give a answer in generally?
" After a few green candles came a ‘red spinning candle’ then what happen to next?

Take a thorough trawl through thepatternsite.com, one of the top sources of authoritative information on candlestick patterns.

Most people say the pattern suggests the market has reached a point of indecision and may continue higher or may reverse and fall. However, the probability of either is only about 50% so this isn’t a great deal of help.

But take a look at trend. If the market wasn’t in a trend, then a spinning top candlestick means nothing anyway, as the market was already indecisive.

If the market was in a trend, then consider what is the most probable next price movement in any trend - continuation. And the least probable next price move in any trend - reversal.

I’m not saying spinning tops can’t be played, but don’t take them at face value and do take account of the trend.

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Thanks a lot…!! I got a idea. :slightly_smiling_face: :handshake:

I would agree with tommor. IMO, what could happen next could be resolved by going down the TF’s to see what’s happening there.

If that’s not conclusive, then neither is the market sentiment, and it’s a trading situation I would avoid or consider closing an open position if you’re scalping.

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Very good website id agree

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Spinning tops are indecisive in nature , as u said forming in up trend might be there is an indication of bearish reversal but I would recommend dont go purely with candlestick analysis, check the volumes too with MACD.

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As a rule spinning top is the signal of a trend change. A spinning top can be also a significant sign that bulls are losing their control and there is a risk that trend is reverse. The same thing happens to bearish trend. When you see a spinning top at the bottom of a downtrend it’s a signal that bears lose their positions and the trend reverses to bulls. In my opinion, you’d better learn a bit about rend reversals and trading by trend. It will be much more useful for you to understand these meanings and choose the right direction of a price movement. There are lots of patterns which can point on the trend reversal.