Comment on Single Candlestick patterns (Part 1)

Hari commented on 05 Dec 2015, 05:49 PM

Karthik bro,
Please help me…
I cant figure out a proper calculation for Marubuzo shadow. You taught us that shadow can be < 1% for the pattern to be a buzo.
Lets consider Bullish buzo,
For Upper Shadow calculation, which one of the following is correct?
[(high-close)/(close-open)] must be < 1? i.e shadow with respect to body range
[(high-close)/high] must be < 1? i.e shadow with respect to close price.

For lower Shadow calculation, which one of the following is correct?
[(open-low)/(close-open)] must be < 1? i.e shadow with respect to body range
[(open-low)/high] must be < 1? i.e shadow with respect to close price.

Much thanks from a budding trader 🙂

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