Upside Gap Two Crows
Upside Gap Two Crows is a technical analysis pattern that is used to identify potential reversals in the price of a security. It is a two-candlestick pattern that is formed when the second candlestick gaps above the first candlestick and then closes lower than the open of the first candlestick. This pattern is considered to be a bearish reversal pattern, as it suggests that the price of the security is likely to move lower in the near future.
History of the Term
The Upside Gap Two Crows pattern was first described by Japanese analyst Seiki Shimizu in the early 1900s. Shimizu was one of the first analysts to recognize the importance of candlestick patterns in technical analysis. He believed that these patterns could be used to identify potential reversals in the price of a security. Since then, the Upside Gap Two Crows pattern has become one of the most widely used candlestick patterns in technical analysis.
Comparison Table
| Pattern | Description |
|---|---|
| Upside Gap Two Crows | Second candlestick gaps above the first and closes lower than the open of the first. |
| Downside Gap Two Crows | Second candlestick gaps below the first and closes higher than the open of the first. |
Summary
The Upside Gap Two Crows pattern is a bearish reversal pattern that is used to identify potential reversals in the price of a security. It is formed when the second candlestick gaps above the first and then closes lower than the open of the first. This pattern is considered to be a reliable indicator of a potential price reversal, and is one of the most widely used candlestick patterns in technical analysis. For more information about this pattern, you can visit Investopedia, StockCharts, and TradingView.
See Also
- Downside Gap Two Crows
- Three Black Crows
- Three White Soldiers
- Bullish Engulfing Pattern
- Bearish Engulfing Pattern
- Doji
- Hammer
- Hanging Man
- Inverted Hammer
- Shooting Star
