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Nikita (SEBI RA)

10th Oct · SEBI-Registered Analyst

Separating Lines – Continuation Pattern

📊 The Separating Lines is a candlestick continuation pattern that confirms trend strength. ✅ Types: Bullish Separating Lines: First a red candle, then a green candle that opens at the same level as the red’s open and closes higher → uptrend continuation. Bearish Separating Lines: First a green candle, then a red candle that opens at the same level as the green’s open and closes lower → downtrend continuation. 📌 Example: Stock in uptrend, prints red closing ₹590, next day opens at ₹600 (same as previous open) and closes ₹620 → Bullish Separating Lines → trend resumes. 🧠 Tip: Rare but reliable if accompanied by strong volume.

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