How do you recognize an In-Neck candle?

An existing downtrend. First candle: a large bearish one. Second candle: a small bullish one that closes inside the body of the first by only a slight amount.

Is the In-Neck candle a bullish or bearish signal?

It belongs to the bearish continuation patterns, is made of two candles, and confirmation is required. Its reference success rate is 59%. You can spot it yourself on live daily candles for any symbol in the members' technical terminal.

Bearish signal ▼ · 58 pattern

In-Neck

In-Neck Line

In-Neck (In-Neck) is similar to the "On-Neck" pattern, but the second, bullish candle closes inside the body of the first by a very slight amount above its close. The tiny penetration of the body is not enough to reverse the trend. It is a bearish continuation signal of nearly the same strength as "On-Neck".

PATTERN ID

Signal Bearish ▼

Reliability ★★★☆☆

Win Rate 59%

Expected move −3–7%

Timeframe Daily

Confirmation Required

The short answer

What is an In-Neck candle?: In-Neck (In-Neck) is similar to the "On-Neck" pattern, but the second, bullish candle closes inside the body of the first by a very slight amount above its close. The tiny penetration of the body is not enough to reverse the trend. It is a bearish continuation signal of nearly the same strength as "On-Neck".
How do you recognize an In-Neck candle?: An existing downtrend. First candle: a large bearish one. Second candle: a small bullish one that closes inside the body of the first by only a slight amount.
Is the In-Neck candle a bullish or bearish signal?: It belongs to the bearish continuation patterns, is made of two candles, and confirmation is required. Its reference success rate is 59%. You can spot it yourself on live daily candles for any symbol in the members' technical terminal. Open the technical terminal →

Pattern illustration

Large falling ← a rising candle that closes slightly inside its body

How to identify the pattern

Step-by-step checks

An existing downtrend
First candle: a large bearish one
Second candle: a small bullish one that closes inside the body of the first by only a slight amount
The penetration is tiny (well below the midpoint)

Trading psychology

The power struggle between buyers and sellers

A slightly stronger bounce than "On-Neck" but still weak: buyers cannot get past a small margin inside yesterday's body. Sellers staying in control makes a continued drop more likely.

Outlook and confirmation

Entry conditions and expected price move

Needs confirmation in the next session

Bearish continuation ~59% needs confirmation. Expect a decline of 3–7%. Stop loss above the high of the second candle.

Ideal setting for the pattern

Inside a downtrend

Recommended timeframe: daily

Where to find it on the platform

Technical terminal for members
Shows the daily-timeframe candles for any symbol on the platform's list. You identify the pattern by eye: the terminal does not name it.