The Kicker candlestick pattern signals trend reversal. It consists of two candlesticks colored differently, and there is a gap between them. The appearance of this pattern indicates a sharp change in the investor sentiment towards a particular asset.
The Kicker pattern can be either bullish or bearish. It looks similar to the Separating candlestick pattern. However, the difference between these patterns is that the Kicking pattern shows a gap in the opening prices instead of their parity.
The bullish Kicker is a black marubozu (a long black body with no shadow from one side) followed by a white marubozu (a long white body with no shadow from one side).
The bearish Kicker pattern is a white marubozu which is followed by a black marubozu.
Some Japanese analysts say that the price always moves towards a longer candlestick, regardless of the trend. Besides, the trend direction is not that important in this pattern, unlike in other Japanese candlestick patterns.
The market was following a trend, but the next day a price gap occurred. During that day the price never went back to the trading range of the previous day, and then it closed with another gap.
The Kicker pattern is not flexible. When there is no gap between trading days, the separating or continuation candlestick patterns are formed.
The bullish pattern is transformed into a long white candlestick which is considered as a bullish one.
The bearish pattern is transformed into a long black candlestick which is considered as a bearish one.
The similar patterns are the separating candlestick patterns. The difference is that the separating model shows no gap and it is a continuation candlestick pattern.
The IFX Kicker indicator will help you find this pattern on a chart. Just add the downloadable file to your MetaTrader indicators folders, and this indicator will identify the Kicker pattern automatically.
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