On Neck Bearish
How to Identify it
- The first day is a long black day
- The second is a white day (not long) that opens below the low of the previous day
and closes at the low of the previous day
What it Means
The On Neck pattern is typical in a downtrend. The fact that a small rally is built
by the second day, but ends at the low of the previous black day indicates that the bears should prevail.