(NASDAQ:FB) Bearish Continuation Pattern

Here is an interesting, but very unusual candlestick pattern I found on Facebook's daily chart.

There are four bearish continuation patterns that are considered highly reliable. These usually take place around the middle of a downtrend. Today we are only going to discuss the bearish side by side black lines pattern; in this case red lines. While the buyers tried to make an effort increasing the price today(opening with a gap), the short sellers clearly took control over the situation and pulled it back again where it previously closed. This is not a good sign because the bulls were unable to push the price further so they'll probably give up soon. No one wants to be a buyer when the short sellers are gaining momentum. This should be a good shorting opportunity, but remember to be very careful and try to select a convenient strategy to enter/exit the position because although a pattern exists, doesn't mean that it will prevail. However, for those that feel unsure about its reliability, wait the third day for a confirmation.

Alexander Schachter