Dark Cloud Cover

Dark Cloud Cover

Dark Cloud Cover

In an uptrend, a long white candlestick is followed by a long black candlestick that opens above the prior while candlestick’s high and then reverses to close around the low of the day. The second candlestick must close well into the first candlestick’s real body – beyond half of the prior candle’s real body. This forms the Dark Cloud Cover (pattern on the left) and it is a bearish pattern. Exactly the opposite situation is the case at the bottom. At the low, it is called Piercing Line.