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


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use