Traders often talk about several candlesticks and candle patterns but "Tweezer Tops" is rarely mentioned. You can look it up or just look at the weekly chart on EU instead. It is a pattern that could mean trend reversal or at least a short term change in direction.
A few qualifiers are:
- A clear preceding up trend must be present.
- The colour of candles does not matter.
-The top does need to be wicks (it can be full bodies too): the important aspect is almost matching highs.
- More effective if it occurs at a resistance area.
- If the first candle has a large body and the second one has a short body, the reversal is more reliable.
The market is simply indicating that it does not accept a higher price and is pushing it down. The fact that this is all happening at the top of a bull trend just means:
No More 😊.
IMO, if this pattern appears in a weekly chart it is more reliable, there is a lot of data assimilated in 2 candles. For target, I am looking at 1.1540 and then 1.1400 region.
If you like my analysis, please give it a “thumbs up” and follow me to get immediate notifications.
As always, please use sound money and risk management in all your trades.
P.S. – Tweezer Bottoms are a valid signal of trend reversal too.
A few qualifiers are:
- A clear preceding up trend must be present.
- The colour of candles does not matter.
-The top does need to be wicks (it can be full bodies too): the important aspect is almost matching highs.
- More effective if it occurs at a resistance area.
- If the first candle has a large body and the second one has a short body, the reversal is more reliable.
The market is simply indicating that it does not accept a higher price and is pushing it down. The fact that this is all happening at the top of a bull trend just means:
No More 😊.
IMO, if this pattern appears in a weekly chart it is more reliable, there is a lot of data assimilated in 2 candles. For target, I am looking at 1.1540 and then 1.1400 region.
If you like my analysis, please give it a “thumbs up” and follow me to get immediate notifications.
As always, please use sound money and risk management in all your trades.
P.S. – Tweezer Bottoms are a valid signal of trend reversal too.