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The Bearish Belt Hold refers to a bearish reversal candlestick pattern which can take shape in both an uptrend and a downtrend. The focal point of this pattern when analyzing it is the position where it develops. It’s usually easy to identify the pattern due to its lack of an upper shadow.
When the pattern forms, it indicates that bears have gained control of the market for the entire trading session because the share price didn’t break above the opening share price.
The reason this pattern lacks upper shadow is that the share price keeps declining from the moment trading starts.
One of its other characteristics is that the price usually closes at or near the lows of the trading session.