Tweezer Bottom Candlestick Pattern on Live Gold

What it shows

Each one gets a blue label marked TB under the low of the second candle.

How Pravex works it out

1. What counts as long or small for the tweezer bottom moves with the market, since the yardstick is a 14-candle exponential average of body sizes, where a body is the distance from open to close, so a quiet stretch lowers it and a busy one raises it.
2. The first candle must be falling (close below open) and must not be a doji. In the tweezer bottom, a doji body is at most 5% of the candle’s range (high minus low), on a candle whose range is above zero. Its size is not otherwise tested.
3. The second candle must be rising (close above open), of any size.
4. The two lows must be equal within 5% of the average body. With an average body of 6, for example, the lows may differ by up to 0.3.
5. The downtrend the tweezer bottom needs is read from the first candle: by default its close must sit below the 50-candle simple average, and the trend setting can make the tweezer bottom test stricter or switch it off.

Settings

Setting	Default	What changing it does
Trend check	SMA50	How the downtrend before the tweezer bottom is measured on the first candle: SMA50 compares its close with the 50-candle simple average. The choice that adds SMA200 also needs the 50-candle average below the 200-candle one, so fewer tweezer bottom labels appear, and the last choice turns the check off.
Label colour	Blue (#2196F3)	The fill of the TB label under the low of each candle where the tweezer bottom pattern is complete; its white text needs a colour it reads well on.

How traders read it

Two matching lows draw a floor. The first candle falls to it, the second dips to the same price and closes higher. Read it as buyers defending that exact level, with the shared low as the natural stop.

The case gets better when the second candle closes above the first candle’s open, and when the floor matches an earlier low you can see on the chart. A tiny second candle is the weak version: the floor held but nothing came off it yet.

When it misleads

Our rule is looser here than for the tweezer top: the first candle only has to be a falling candle that is no doji, and the second can be any rising candle. That lets many small pairs through. Matching lows inside a range are common, and one close below the 50-candle average is all our downtrend test asks. Wait for the close before trusting a tweezer bottom label on the latest candle, which is checked on each update and can lose its label.

Questions and answers

What is a tweezer bottom?

Two candles after a fall with almost the same low: a falling candle, then a rising candle.

How equal do the lows have to be?

In Pravex, within 5% of the 14-candle average body.

Does the first candle need to be long?

No. In Pravex it only has to fall and not be a doji. Its mirror, the tweezer top, does ask for a long first candle.

Related: Tweezer Top - Bearish, Hammer - Bullish, Engulfing - Bullish, All Candlestick Patterns, every indicator.