MRPNL

Marubozu

A full-bodied candle with no wicks — open equals low (or high) and close equals high (or low) — pure, uninterrupted directional conviction.

Card view

A Marubozu (Japanese: "close-cropped") has no upper or lower wick. On a bullish Marubozu, the open is the session low and the close is the session high; on a bearish one it's the reverse. No rejection from either side occurred during the session.

It is one of the clearest single-candle expressions of conviction. A bullish Marubozu after a breakout says buyers never let price dip; a bearish Marubozu in a downtrend says sellers never allowed a recovery. Volume confirmation makes them even more significant.

Example

A bullish Marubozu prints on earnings with double the average volume. The stock opened at the low of the day and closed at the high — no consolidation, no pullback. Momentum traders treat this as a clean continuation entry on the next morning's pullback.

#bullish#bearish#single-candle#conviction

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