Belt-Hold Line is a one candle pattern. It is basically a long real body with zero size or insignificant lower and/or upper shadows. The bullish belt-hold line pattern consists of a long white body (i.e. a bullish candle). If this pattern appears at the bottom of a down trend it could be a reversal sign with bullish implications (see image).

Bullish

There are other names for this single candle pattern such as yorikiri and white opening shaven bottom. The latter could be misleading as this pattern is not always a shaven bottom candle.

Since bullish belt-hold line is a single candlestick pattern you need to use other methods to confirm it. For example if it does not appear at the bottom of a downtrend it could be a continuation sign or a false signal. One practical approach is to consider major support levels to confirm this pattern. You may also user other technical tools and/or breakout from the top of this candle to confirm the reversal signal.

Bearish Belt-Hold Lines

The bearish belt-hold line pattern consists of a long balck body (i.e. a bearish candle). If this pattern appears at the top of an uptrend it could be a reversal sign with bearish implications (see image).

Bearish

There are other names for this single candle pattern such as yorikiri and black opening shaven head. The latter could be misleading as this pattern is not always a shaven head candle.

Since bearish belt-hold line is a single candlestick pattern you need to use other methods to confirm it. For example if it does not appear at the top of an uptrend it could be a continuation sign or a false signal. One practical approach is to consider major resistance levels to confirm this pattern. You may also user other technical tools and/or breakout from the bottom of this candle to confirm the reversal signal.

Locating the Belt-Hold Line Formation in a Chart

I have developed a custom indicator for MetaTrader 4 that locates Belt-hold Lines (bullish and bearish) in a forex chart. The indicator shows bullish Belt-hold lines with green arrows on top of the candles and bearish Belt-hold lines with red arrows below the candles (see image).

locating

Download the BeltHold Indicator [download]

Click here to download the compiled version of this indicator. I have designed the indicator for MetaTrader 4 (MT4). If you are not using the latest build of MT4 then you may encounter technical problems. Click here for more information and possible solutions.

If you are not familiar with using custom indicators then click here.

If you are one of my MQL students you may download the source code of this indicator from your training site. Click here for more information about my MQL training program. You may also click here for more information about different options that I offer for training MQL (one of them is absolutely free).

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