Description
Separating Lines is a trend continuation candlestick pattern consisting of two candles. Depending on their heights and collocation, a bullish or a bearish trend continuation can be predicted.
The bearish Separating Lines candlestick pattern is recognized if:
-
The first candle is long and bullish occurring after the downtrend;
-
The second candle is long and bearish and its Open price is equal to that of the first candle;
-
The second candle does not have an upper shadow.
The bullish Separating Lines candlestick pattern is recognized if:
-
The first candle is long and bearish occurring after the uptrend;
-
The second candle is long and bullish and its Open price is equal to that of the first candle;
-
The second candle does not have a lower shadow.
Input Parameters
| Parameter | Description |
|---|---|
length
|
The number of candle used to calculate the average body height. If the body height of a candle exceeds this average, it is considered long. |
trend setup
|
The number of preceding candles to check if the trend exists. |
Plots
| Plot | Description |
|---|---|
Bearish
|
The bearish Separating Lines candlestick pattern. |
Bullish
|
The bullish Separating Lines candlestick pattern. |