PDSnet Glossary

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Introductory Technical Fundamental Economics Opinion Sectors International Regulatory Other Markets

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Definition

The next candle in a candlestick formation which confirms the previous reversal signal, confirming that a change in the direction of the trend is likely and giving confidence to the dominating market pressure. No candlestick formation should be considered individually. It is always recommended that the investor wait until the next candlestick is present, to ensure that the reversal pattern was not brought about by noise in the market.

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