Three Stars In The South
High profit candlestick patterns Here we will cover the well-known candlestick patterns for informational purposes only. The schematics on the left show how it may look in the real chart. Every pattern has a funny name and brief description. Important to note, a reversal pattern does not necessarily result in complete trend reversal, but a minor change or pause in price action. Bullish reversal patterns This category of candlestick patterns signals a potential trend reversal from bearish to bullish. Before a pattern appears, you should identify a short-term downtrend. We will talk about trend definition later in Three Stars In The South The first bearish candlestick has long lower shadow and very short upper shadow. The second candlestick is similar to the first one, but it's a bit smaller and its low is higher than the previous low. The third candlestick is also bearish and lies within the range of the previous candlestick.