Tweezer top and Bottom
The tweezers formation always involves two candles. At a tweezers top, the high price of two nearby sessions is identical or very nearly so.
In a high priced stock there may be a few cents variation, and I believer it should still be considered a tweezers.
At a tweezers bottom, the low price of two sessions that come in close succession is the same. For simplicity, lets talk just about the tweezers bottom.
In some instances, the tweezers bottom is formed by two real candlestick bodies that make an identical low.
In other instances, the lower shadows of two nearby candles touch the same price level and the stock then bounces higher. A third possibility is that the lower shadow of one day and the real body of a nearby session hit the same bottom level.
Tweezer tops is a pattern of two candlesticks appearing at the end of an uptrend.
• The first candlestick is green. It is longer than previous candlesticks, which shows that the price has increased sharply.
• The second candlestick is red. It is almost as long as the green candlestick. Its opening price is equal to the closing price of the first candlestick. The price has suddenly fallen. This is a signal that the trend reversal from upward to downward.
Tweezer Bottoms is a candlestick pattern that appears at the end of a downtrend.
• The first candlestick is red, which has an equivalent length compared to previous candlesticks. It shows that the price is falling sharply.
• The second candlestick is green. It has the opening price equal to the closing price of the first candlestick. Its length is almost equal to the previous red candlestick. The price has suddenly reversed from decreasing to increasing.