Piercing Line Candlestick Pattern: The Worst Performer We Tested
The piercing line is a two-candle bottom: a big down day, then a day that opens even lower but rallies to close more than halfway back up into the first candle. It’s supposed to show buyers overpowering a gap down, the bulls “piercing” the bears’ territory. Out of every candlestick pattern our scanner tracks, this is the one I’d least want to trade on. Across 1,261 piercing lines on 559 US stocks and ETFs since late 2023, it had the worst record of any bullish pattern with enough cases to judge. ...