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The first candle in an evening star pattern is?

a) Bearish and small-bodied
b) Bullish and long-bodied
c) Bullish and small-bodied
d) Doji or spinning top

User RmIu
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1 Answer

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Final answer:

The first candle in an evening star pattern is typically bearish and small-bodied.

Step-by-step explanation:

In the context of candlestick chart analysis in trading, the first candle in an evening star pattern is typically a) Bearish and small-bodied.

The evening star pattern is a reversal pattern that occurs at the end of an uptrend. It consists of three candles: a bullish candle, followed by a small-bodied candle (which can be bearish or bullish), and finally a bearish candle.

The small-bodied candle in the middle, also known as the star, indicates a potential shift in market sentiment. When it is bearish, it suggests that the bullish momentum is weakening and the bears may be gaining control.

User Stirner
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