The Morning Star is a strong bullish reversal pattern that appears after a downtrend. It consists of:
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A long bearish candle
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A small-bodied candle (Doji or Spinning Top) showing indecision
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A strong bullish candle closing well into the body of the first candle
Interpretation:
This pattern indicates that selling pressure is weakening and buyers are gaining control. It's more reliable when confirmed by high trading volume or a gap up.
π Evening Star Pattern
Keywords: Evening Star Pattern, Bearish Reversal Candlestick, Three Bar Setup, Market Top Signal
Description:
The Evening Star is a bearish reversal pattern, forming at the end of an uptrend. It includes:
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A long bullish candle
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A small-bodied candle (often a Doji) indicating indecision
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A large bearish candle that closes below the midpoint of the first candle
Interpretation:
It signals that bullish momentum is fading, and sellers may soon dominate the market. Traders often wait for confirmation from the next candle.
π Three Black Crows
Keywords: Three Black Crows Pattern, Bearish Candlestick Signal, Trend Reversal Indicator, Strong Selling Pressure
Description:
The Three Black Crows pattern appears after an uptrend and consists of:
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Three consecutive bearish candles
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Each candle opens within the body of the previous one
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Each closes lower, showing consistent selling pressure
Interpretation:
This is a strong bearish reversal signal, indicating that sellers have taken full control. Itβs most effective after a prolonged uptrend and may suggest the start of a downtrend.
Let me know if you want visuals, trading strategies using these patterns, or integration with technical indicators!
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