Thrusting Line


DEFINITION of 'Thrusting Line'

In technical analysis, the bearish or bullish thrusting line serves as a continuation indicator, adding evidence that a stock will continue its current price trend. The visual depiction of this pricing trend using candlestick graphs shows the second day of trading closing the opposite direction of the first, but failing to break through the midpoint of the real body (the range between the opening and closing prices).

BREAKING DOWN 'Thrusting Line'

The thrusting line is considered a weak confirmation of a directional trend, and should not be the lone basis for a decision in technical analysis. It should be further confirmed in subsequent days with additional bearish or bullish signals.

  1. Bear

    An investor who believes that a particular security or market ...
  2. Shadow

    A small line found on a candle in a candlestick chart that is ...
  3. Real Body

    In candlestick charting this is the wide part of a candle that ...
  4. Candlestick

    A chart that displays the high, low, opening and closing prices ...
  5. Bull

    An investor who thinks the market, a specific security or an ...
  6. Technical Analysis

    A method of evaluating securities by analyzing statistics generated ...
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  1. How do I create an optimal thrusting line on candlestick patterns?

    An optimal thrusting line can be drawn on a candlestick pattern where a current upward candlestick closes up in the prior ... Read Full Answer >>
  2. Why is the Thrusting Line important for traders and analysts?

    The thrusting line candlestick pattern is commonly interpreted by traders and market analysts as a signal for trend continuation, ... Read Full Answer >>
  3. What are the best technical indicators to complement the Thrusting Line?

    The thrusting line candlestick pattern most commonly occurs as a signal of bearish continuation in an existing downtrend. ... Read Full Answer >>
  4. What is the difference between fundamental and technical analysis?

    These terms refer to two different stock-picking methodologies used for researching and forecasting the future growth trends ... Read Full Answer >>
  5. Can working capital be too high?

    A company's working capital ratio can be too high in the sense that an excessively high ratio is generally considered an ... Read Full Answer >>
  6. What are some of the most common technical indicators that back up Doji patterns?

    The doji candlestick is important enough that Steve Nison devotes an entire chapter to it in his definitive work on candlestick ... Read Full Answer >>

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