How Can a Candlestick Chart Pattern Known as a ‘Long Upper Wick’ Indicate the ‘Dump’ Phase?
A long upper wick, or shadow, on a candlestick indicates that the price traded significantly higher during the period but was pushed back down before the period closed. This pattern suggests strong selling pressure from the top, which is characteristic of the 'dump' phase.
It shows that the initial high price could not be sustained as the manipulators sold their holdings.
