Complete Candlestick Patterns
Candlestick patterns
Candlestick
patterns are essential tools in technical analysis, helping traders predict
price movements based on historical data. Here’s a unique and plagiarism-free
list of complete candlestick patterns,
categorized into bullish, bearish, and continuation patterns:
1. Bullish Candlestick Patterns (Reversal)
These
patterns indicate a potential shift from a downtrend to an uptrend.
✅ Bullish Engulfing
- A small
bearish candle is followed by a larger bullish candle that completely
engulfs it.
- Signals
strong buying pressure.
✅ Piercing Pattern
- A bearish
candle is followed by a bullish candle that closes above the midpoint of
the first candle.
- Indicates
buyers stepping in.
✅ Morning Star
- Consists of
three candles: a large bearish, a small indecisive (Doji/Spinning Top),
and a strong bullish candle.
- Suggests
trend reversal.
✅ Three White Soldiers
- Three
consecutive bullish candles with small wicks.
- Shows
strong momentum in an uptrend.
✅ Hammer
- Small
body with a long lower wick and little to no upper wick.
- Appears
at the bottom of a downtrend, signaling reversal.
✅ Inverted Hammer
- Opposite
of the Hammer, with a small body and a long upper wick.
- Signals
potential reversal after a downtrend.
2. Bearish Candlestick Patterns (Reversal)
These
patterns suggest an upcoming bearish move.
❌ Bearish Engulfing
- A small
bullish candle followed by a large bearish candle that engulfs the
previous one.
- Indicates
strong selling pressure.
❌ Dark Cloud Cover
- A bearish
candle that opens above the previous close but closes below its midpoint.
- Signals a
potential reversal.
❌ Evening Star
- Opposite
of the Morning Star, consisting of a large bullish candle, a small
indecisive candle, and a strong bearish candle.
- Suggests
a downward reversal.
❌ Three Black Crows
- Three
consecutive bearish candles with small wicks.
- Indicates
strong selling momentum.
❌ Shooting Star
- Small
body with a long upper wick and little to no lower wick.
- Appears
at the top of an uptrend, signaling reversal.
❌
Hanging Man
- Similar
to the Hammer but occurs at the top of an uptrend.
- Suggests
potential bearish reversal.
3. Continuation Candlestick
Patterns
These
patterns indicate that the current trend will likely continue.
➡
Rising Three Methods
- A long
bullish candle, followed by small bearish candles, and another strong
bullish candle.
- Confirms
an ongoing uptrend.
➡
Falling Three Methods
- A long
bearish candle, followed by small bullish candles, and another strong
bearish candle.
- Confirms a
downtrend continuation.
➡
Doji
- A candle
with an almost equal open and close, showing market indecision.
- If it
appears in a strong trend, it may signal continuation.
➡
Marubozu
- A single
candle with no wicks, either fully bullish or bearish.
- Indicates
strong trend continuation.
➡
Spinning Top
- Small
body with long upper and lower wicks, representing indecision.
- Often
leads to trend continuation or a short pause before resumption.
4. Indecision Candlestick
Patterns
These
patterns show market uncertainty and potential trend shifts.
🔄 Doji (Neutral, Gravestone, Dragonfly)
- Different
types of Doji indicate varying levels of indecision.
- Market
needs confirmation in the next candles.
🔄 Spinning Top
- Similar
to Doji but with a slightly larger body.
- Suggests
low market commitment to a direction.
🔄 Inside Bar
- A smaller
candle completely contained within the previous candle’s range.
- Signals consolidation before the next move.
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