Negative Bias Candle

A Negative Bias Candle occurs when the closing price of a candlestick is lower than the previous low and lower than the opening price. This forms a bearish candlestick, indicating a potential continuation or strengthening of a downward trend. 

  1. Close < Previous Low: The closing price falls below the low of the previous candlestick.
  2. Close < Open: The closing price is lower than the opening price, resulting in a bearish (typically red) candle.

A Negative Bias Candle signals strong bearish momentum. The bigger the candle body, the stronger the trend, which indicates seller dominance and suggests confidence in falling prices. 

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