// CANDLESTICKS — PATTERN REFERENCE

Read the candles.

The patterns worth knowing, each with its bias, what it signals and a quick illustration — filter to just the bullish, bearish or neutral setups.

Doji

neutral
Indecisionreversal

Open and close are nearly equal, leaving a tiny body. Buyers and sellers fought to a draw — often a pause before a turn.

Hammer

bullish
Bottom reversalreversal

A small body near the top with a long lower wick after a downtrend. Sellers pushed lower but buyers reclaimed the close.

Inverted Hammer

bullish
Bottom reversalreversal

Small body near the low with a long upper wick after a decline. Buyers tested higher — a hint the downtrend is tiring.

Shooting Star

bearish
Top reversalreversal

Small body near the low with a long upper wick after an uptrend. Buyers spiked then failed, handing control to sellers.

Hanging Man

bearish
Top reversalreversal

A hammer shape appearing after an uptrend. The long lower wick shows sellers testing lower — a warning the rally may stall.

Bullish Engulfing

bullish
Bottom reversalreversal

A large green candle fully engulfs the prior red body. Demand overwhelmed supply in a single session.

Bearish Engulfing

bearish
Top reversalreversal

A large red candle fully engulfs the prior green body. Supply overwhelmed demand and flipped momentum down.

Morning Star

bullish
Bottom reversalreversal

A red candle, a small-bodied pause, then a strong green candle. A three-bar base marking the turn from down to up.

Evening Star

bearish
Top reversalreversal

A green candle, a small-bodied pause, then a strong red candle. The mirror of the morning star, topping out a rally.

Three White Soldiers

bullish
Strong reversalreversal

Three tall green candles closing progressively higher. Sustained buying pressure that often marks a decisive bottom.

Three Black Crows

bearish
Strong reversalreversal

Three tall red candles closing progressively lower. Relentless selling that often confirms a top.

Spinning Top

neutral
Indecisionreversal

A small body centred between long upper and lower wicks. Neither side gained ground — momentum is stalling.

Marubozu

bullish
Momentumcontinuation

A full body with no wicks — price opened at one extreme and closed at the other. Conviction in the trend direction.

Harami

neutral
Momentum shiftreversal

A small body contained inside the prior large body. The trend's energy is fading — a reversal may be brewing.