Rising wedges are most often bearish and are considered a terminal pattern. The pattern is not valid unless price breaks the bottom trendline of the wedge (311.50) and these can be very long term patterns. Both trendlines slope up and converge at the apex. Rising and narrowing wedges represent too much buying without adequate pull backs. This interrupts supply and demand. As a rule, the security will find support at a level within the wedge.
Occasionally, price will fall to a level that is parallel with the bottom trendline of the wedge. If this were to happen, it would put price close to the handle low. I have noted that a strong security rarely falls the full amount from a rising wedge pattern.
Long after fall is complete and FDX is in recovery mode, which could be tomorrow for all I know. I sold this and am waiting, patiently, to buy it back. (o:
Negative volume has decreased significantly.
No recommendation.
Sometimes it feels as if learning to trade is a marathon, and not a sprint (o:
Occasionally, price will fall to a level that is parallel with the bottom trendline of the wedge. If this were to happen, it would put price close to the handle low. I have noted that a strong security rarely falls the full amount from a rising wedge pattern.
Long after fall is complete and FDX is in recovery mode, which could be tomorrow for all I know. I sold this and am waiting, patiently, to buy it back. (o:
Negative volume has decreased significantly.
No recommendation.
Sometimes it feels as if learning to trade is a marathon, and not a sprint (o:
There is also a 3 black crow pattern and the only difference is this pattern consists of the 3 overlapping red candles of decent size in a downtrend.
The second candle in the crow pattern today has a shaven head (no top wick) which can indicate a lack of effort as the bulls did not fight to make a high, but not always bearish, perhaps just not in the mood to fight today and perhaps the bulls will fight next week. Today and yesterday the bears won and selling was on the menu. Profit taking is part of the market I suppose and lots have made a ton already on FDX so perhaps the slightest move down spooked folks, Then there is also the rising wedge which interrupts supply and demand.
In some cases due to the extensive amount of selling that 2 or 3 long red candles represent, it can turn out to be bullish reversal in the end, (especially at the bottom which FDX is not) but black crows are considered a bearish candle pattern