Community Forex Questions
How do you differentiate between a bullish and bearish Belt Hold pattern?
The Belt Hold pattern is a single-candlestick formation that signals a potential trend reversal. It can be either bullish or bearish, and the key difference lies in its position, colour, and the market trend preceding it.
A bullish Belt Hold appears after a downtrend. It is a long white (or green) candlestick that opens at its low and closes near its high, with little or no lower shadow. This suggests strong buying pressure from the open, possibly marking the start of a bullish reversal.
A bearish Belt Hold, on the other hand, appears after an uptrend. It is a long black (or red) candlestick that opens at its high and closes near its low, with little or no upper shadow. This shows strong selling pressure from the open, often signalling the beginning of a bearish reversal.
A bullish Belt Hold appears after a downtrend. It is a long white (or green) candlestick that opens at its low and closes near its high, with little or no lower shadow. This suggests strong buying pressure from the open, possibly marking the start of a bullish reversal.
A bearish Belt Hold, on the other hand, appears after an uptrend. It is a long black (or red) candlestick that opens at its high and closes near its low, with little or no upper shadow. This shows strong selling pressure from the open, often signalling the beginning of a bearish reversal.
Jul 08, 2025 02:09