How to Read an On-Neck Pattern
A weak bounce within a downtrend that barely reaches the prior candle's low -- usually read as continuation, not reversal.
CANDLESTICK PATTERNS
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2-candle pattern · Bearish continuation
An on-neck pattern is a bearish candle followed by a small bullish candle that closes at, or just above, the prior candle’s low, within an existing downtrend. Because the “recovery” barely makes it back to the previous close, it’s read as a weak, unconvincing bounce.
Unlike the reversal patterns on this list, an on-neck pattern is a continuation signal — it suggests the downtrend is likely to resume rather than turn. The key detail is just how little ground the second candle recovers; a bounce that closes meaningfully higher would no longer qualify as this pattern.
Related patterns
This article is educational only and isn’t a recommendation to trade any particular instrument or pattern — no candlestick pattern works in isolation. See the full candlestick guide for how patterns like this one fit into a broader approach.