The Morning Star
by PRASHANT SHAH -
The Morning Star Category: Reversal Type: Strong The Morning star is a three-candle formation. It is an extension to the Bullish star pattern that we discussed earlier. A bearish candle in the downtrend followed by a small body candle that opens below the body of the previous candle is a bullish star pattern with a ... Read more
The Evening Star
by PRASHANT SHAH -
The Evening Star Category: Reversal Type: Strong The Evening star is a three-candle formation. It is an extension to the Bearish star pattern that we discussed earlier. A bullish candle in the uptrend followed by a small body candle that opens above the body of the previous candle is a bearish star pattern with a ... Read more
Abandoned Baby Bottom
by PRASHANT SHAH -
Category: Reversal, Type: Strong Abandoned baby bottom is a three-candle formation. It is similar to the three morning star pattern we discussed earlier. A bearish candle in the downtrend is followed by a small body candle that opens below the body of the previous candle with a body gap (gap between bodies). The second gapping ... Read more
Three Outside Up Pattern – Bullish
by PRASHANT SHAH -
Three Outside Up Pattern – Bullish Category: Reversal Type: Strong Three Outside Up is a three-candle bullish trend reversal pattern. A bearish candlestick pattern is followed by a bullish candlestick pattern that opens below the closing price and closes above the opening price of its previous candlestick pattern. In other words, the body of the ... Read more
Three Outside Up Pattern – Bearish
by PRASHANT SHAH -
Three Outside Up Pattern – Bearish Category: Reversal Type: Strong Bearish Three Outside Up is a three-candle bearish trend reversal pattern. A bullish candlestick pattern is followed by a bearish candlestick pattern that opens above the closing price and closes below the opening price of its previous candlestick pattern. In other words, the body of ... Read more
All Patterns at a Glance
by PRASHANT SHAH -
A candle for a particular time period is built using four prices: Open, High, Low and Close. If Close is higher than Open, it is a bullish candle (green). If Close is lower than the Open, the candle is bearish (red). The price area between Open and Close is known as body. the wicks are ... Read more
