The Thrusting candlestick pattern is a two-candle bearish continuation pattern that appears most often in downtrends.
The first candles in the Thrusting pattern is a large full bodied bearish candle.
The second candle is a smaller bullish candle that opens below the first candle low and close, and then rises up to close under the middle of the first candles body. The name ‘Thrusting’ comes from the fact that the second candle gaps down and then thrusts itself up into the first candle.
Although the Thrusting candle pattern looks similar to the Piercing Line candlestick pattern, the key difference lies in the fact that the Thrusting candle closes below the middle of the first candles body, while the Piercing Line closes above the mid-way point of the preceding candle.
In price action theory, the Thrusting pattern is supposed to act as a bearish continuation pattern, Bulkowski finds that the pattern acts as a bullish reversal most of the time. Bulkowski has also determined that Thrusting candles with large bodies tend to perform better than their smaller counterparts.
Even though the Thrusting candle pattern isn’t all that reliable as an indication of the continuation of the downtrend, it’s best to stick with the major underlying trend and not buy against sellers with this pattern.