Short White

A Short White is a single-candle pattern which signals weak buying pressure.

Coloured white (or green) representing price has closed above the open, a Short White candle is as its’ name suggests: short bodied and white. The lengths of the wicks (or shadows) are unimportant however, Short White candles with wicks longer than the median typically outperform after a breakout.

Although Bulkowski suggests the signal performance is near random, a Short White candle appearing in an uptrend may suggest a continuation of the current trend while its’ appearing in a downtrend may form part of a bullish reversal pattern.

While price generally breaks out upward from the Short White candle, traders should look for a Short White candle/s after observing a strong trend (long candles) to signal a temporary price correction.