Investor Glossary-three black crowsInvestor Glossary-three black crowsInvestor Glossary-three black crowsInvestor Glossary-three black crowsInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Three Black Crows

The HTML to link to this page
 

Three black crows is a candlestick charting pattern used in technical analysis -- it is a bearish reversal pattern. As a trading signal, three black crows is the bearish counterpart to three white soldiers, a bullish reversal pattern. The three black crows pattern does not occur frequently. Three long-bodied black candles occurring on consecutive trading days, where each candle opens within the body of the previous candle and closes lower each day at or near the day's low, characterize three black crows. Some market technicians believe an optimal three black crows pattern will have the second and third "soldiers" opening in the bottom half of the preceding day's "soldier." Technical analysts consider three black crows a signal that a security's uptrend may have ended. However, although three black crows can indicate a reversal, if the candles are very long it can also indicate a security is oversold and set to rebound. Continued negative activity the day after the three black crows pattern manifests is one possible signal of further declines, but traders may want other technical indicators to confirm the pattern.



Rate this Three Black Crows definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: real GDP, inflation, phantom income, liquidity ratio, per diem, retained earnings, FICO score, Key Rate Duration, Zero Cost Collar, deferred tax, covered put, labor relations, irrevocable trust, ex-dividend date, minority interest, option premium, command economy, 1031 exchange, 1035 exchange, 401a, dividends payable, risk management, current ratio, LIBOR, balance sheet, open position, VIX, implied volatility, EBITDA, in escrow, 144a, margin rate, stock market close, quality assurance, reverse mortgage, stock split, diluted share, wholly-owned subsidiary, required rate of return, average price per share, debt service coverage, APR, annual return, ex-dividend, cancelled check, deferred revenue, FTSE, limit order, class C shares


Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
Investor Glossary Index >>> # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
©2004-2014 Investor Glossary - All rights reserved - Terms of Use