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What is Spinning Tops and the importance of Spinning Tops.

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Posted by : Nifm
5 March, 2015, 11:07 AM
What is Spinning Tops and the importance of Spinning Tops.
The spinning top candlestick patterns is look like a doji pattern, but in spinning top the body will be visible but in doji it close near opening price. In Spinning top there will be a good difference between the open and close price. The longer shadow with the small body. Trend should be Up or Down. The day after the Spinning Top signal opens lower or higher. Large volume on the Spinning Top day increases the chances that a blow-off day has occurred although it is not a necessity.  Criteria: Spinning top form in the top or the bottom of the trend. Gap open confirm the pattern to go short or long with sl of high and low of spinning top formation. Example of Spinning Top pattern you can check in crude oil daily chart. Recommendation: Crude oil buy above 3200 sl below 3160 target 3260-3300 and more upside possible. Crude oil sell below 3110 sl above 3150 target 3070-3030 and more down side possible 

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