What is Ladder Bottom: Bullish Reversal Pattern?
Ladder Bottom is a bullish reversal pattern and it appears at the end of downtrend. It consists of 5 candles. The pattern gives early signs of deterioration of downtrend.
First three candles of this pattern are long black candles, which resembles the three black crows formation. Fourth day candle closes lower, but with a long upper shadow, which goes into the body of the third candle. Fifth day candle is a long white one which opens above the body of the fourth day candle.
Strategy: Long positions can be entered into once high of the fifth candle is exceeded.
Ladder Bottom is a bullish reversal pattern and it appears at the end of downtrend. It consists of 5 candles. The pattern gives early signs of deterioration of downtrend.
First three candles of this pattern are long black candles, which resembles the three black crows formation. Fourth day candle closes lower, but with a long upper shadow, which goes into the body of the third candle. Fifth day candle is a long white one which opens above the body of the fourth day candle.
Strategy: Long positions can be entered into once high of the fifth candle is exceeded.