DCC10
▼ Bearish
Streaming Alert (Scanner)
10 Minute Dark Cloud Cover Alert (DCC10)
Find stocks printing a dark cloud cover candle on the 10-minute chart in real time with Trade Ideas Streaming Alerts (Scanner). A dark cloud cover is a red candle that opens above the prior green candle and closes below its midpoint. This alert checks 10 minute candles.
Candle patterns as they form.
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Streaming Alerts push each 10 Minute Dark Cloud Cover alert the moment the 10 minute candle closes.
How Trade Ideas finds it: by default, the 10 minute dark cloud cover alert triggers when this pattern appears on a 10-minute candlestick chart. See Trade Ideas plans and pricing to run it live.
How the 10 Minute Dark Cloud Cover alert works
This alert signals the appearance of a dark cloud cover pattern on a traditional 10-minute candlestick chart. Components of a dark cloud cover pattern include:
- The first candlestick is typically a green or bullish candlestick, indicating an upward price movement
- The second candlestick is a red or bearish candlestick, indicating a downward price movement
- The bearish candlestick "covers" or partially engulfs the body of the bullish candlestick, opening above the previous candle and closing below the midpoint of the previous bullish candle.
Here are some potential benefits and implications of using the Dark Cloud Cover alert:
- Reversal Signal: The Dark Cloud Cover is a bearish reversal pattern. It occurs after an uptrend and suggests a potential shift in momentum from bullish to bearish.
- Identification of Weakness: The pattern consists of two candlesticks – the first is a strong bullish candle, and the second opens higher but closes significantly lower, forming a dark cloud over the preceding candle. This indicates that the bulls lost control, and the bears gained strength.
- Confirmation of Resistance: The dark cloud cover often forms near a resistance level, adding confirmation to the potential reversal. Traders may use this signal to assess the strength of resistance and make informed trading decisions.
- Entry Signal for Short Positions: Traders may interpret the Dark Cloud Cover as a signal to enter short positions or consider closing long positions. This is based on the expectation of a downtrend following the bearish reversal pattern.
- Risk Management: The pattern provides a clear point for placing a stop-loss order. Traders often set the stop-loss just above the high of the second candlestick in the pattern, helping manage potential losses if the reversal does not occur as anticipated.
- Confirmation with Other Indicators: To increase the reliability of the alert, traders often use it in conjunction with other technical indicators, such as trendlines, support/resistance levels, or other candlestick patterns.
- Adaptability to Different Timeframes: The Dark Cloud Cover alert is applicable across various timeframes, making it adaptable for different trading styles and time horizons.
Default settings
By default, the 10 minute dark cloud cover alert triggers when this pattern appears on a 10-minute candlestick chart. To align with each alert, it's essential to utilize the corresponding time frame on the chart. For instance, this alert is visualized on the 10-minute candlestick chart.
Custom settings
Settings
For '10 Minute Dark Cloud Cover' alerts, you have the option to use an alert specific filter. This filter is located immediately to the right of the corresponding alert and is always optional. You can decide to leave it blank if you want to receive more alerts, or you can fill it in to restrict the number of alerts you receive. This filter allows you to specify the quality of the alert. When you set a higher number for this filter, you are telling the alerts server to display only alerts that meet a higher quality standard, resulting in fewer alerts being shown.
When setting an alert for '10 Minute Dark Cloud Cover', the user can filter these alerts by a grade of how on how closely the stock chart matches the ideal shape of the stock pattern. 0 would mean there was no match. 100 would mean it's an ideal match.
What the alert shows you
Key point
The description of the alert will display "Dark Cloud Cover", providing you with a clear indication of the specific alert that has been triggered.
The quality value on a scan using the "10 Minute Dark Cloud Cover" represents the grade based on how closely the stock chart matches the ideal shape of the stock pattern. 0% would mean that there was no match at all. Of course, if a stock pattern is this poor a match, then we are unlikely to report an alert. 100% would be an ideal match. Again, this would be an ideal and extreme case. Few if any alerts come close to 100%.
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Filters to pair with the 10 Minute Dark Cloud Cover alert
Categories
FAQ
Which stocks are forming a dark cloud cover candle on the 10 minute chart right now?
Turn on the 10 Minute Dark Cloud Cover alert (DCC10) in Trade Ideas Streaming Alerts. By default, the 10 minute dark cloud cover alert triggers when this pattern appears on a 10-minute candlestick chart.
What is the 10 Minute Dark Cloud Cover alert?
A dark cloud cover is a red candle that opens above the prior green candle and closes below its midpoint. This alert checks 10 minute candles.
How do I see fewer, higher-quality 10 Minute Dark Cloud Cover alerts?
Use the optional alert-specific filter immediately to the right of the alert. A higher number tells the alerts server to show only higher-quality alerts, so fewer appear. Leave it blank to see more.