Counterattack Lines

In trading, "counterattack lines" refer to a candlestick pattern that indicates a potential reversal in market direction. This pattern occurs when a long bullish (green) candle is followed by a long bearish (red) candle that completely engulfs the previous bullish candle. This suggests that bears have gained control and are pushing prices lower, and that a potential trend reversal may be imminent. Counterattack lines are considered to be a strong reversal pattern, and traders often use them as a signal to exit long positions or to initiate short positions. However, like all trading patterns, it's important to consider other technical and fundamental indicators before making trading decisions based solely on counterattack lines.

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