Are you using candlestick charts for your stock trading? If you are, here are two patterns may interest you. Let's take a look at the daily chart of Snap Inc.
First, I want to point out the tweezer bottom pattern (A). As you can see, this pattern consists of two candlesticks. Day 1 is bearish candlestick, and Day 2 is bullish candlestick. Important thing is Day 1 and Day 2 have the same low price. A tweezer bottom pattern often appears after an extended period of a downward move, and it warns us of a potential bottom.
Next, I want you to pay attention to today's bar.
This is a Doji candlestick which consists of the virtually same open and close price. Doji candlestick is very easy to find because it looks like a cross, and if often signals reversal.
I don't know how good Snap Inc is fundamentally. But, after nearly four months of disappointing price performance, we are finally seeing two bullish patterns, a tweezer bottom and a doji candlestick.
