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


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | 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