ick Pattern Reference Guide - tradesmartu.comtradesmartu.com/external/files/Candlestick-Pattern-Reference-Guide.pdf · were used primarily by Japanese Rice Traders. The use of candlesticks

Candlestick patterns are an important part ofany technical trader's toolkit. Originallyemerging in the early 18th century, candlestickwere used primarily by Japanese Rice Traders.The use of candlesticks was later perfected bySoku Honma and ultimately brought to Americaby Steve Nison in 1991.

Candlestick Pattern Reference Guide

Bullish Trend

Bearish TrendOpen"Bull"

Candle

Hammer / Inv-erted Hammer

Bull Pattern

Closed"Bear"Candle

White or Black BodyWick 2/3 of BodyFound at Support

BullishPiercing

Long black followed by awhite candle that piercesmore than half way.

Doji

Same Open/CloseLong Shadow

Marubozu

Long Day ; No ShadowWhite: BullishDark: Bearish

Harami

Small real body heldwithin previous sessionOften opposite colors

Counter Attack

Opening GapCloses unchangedfrom previous Candle

Engulfing

Open and Close engulfthe entire price of theprevious day

Bear Pattern

Bullish

Bearish

Bullish

Bearish

Dragonfly

Gravestone

Bullish Bearish

Dark-CloudCover

Long white followed by ablack candle that piercesmore than half way.

C Continuation Pattern

R Reversal Pattern

R R

R R R

R R

Common Candles

LongDay

SpinningTop

Doji

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White Soldier /Black Crow

2 Long Body CandlesOpen gap with closepast previous open.

MorningStar

Long Dark CandleGap DownGap Up, Long White

RisingThree

Five day pattern. Outer white candles engulf the three middle candles.

Bear Rest

Similar to the falling 3pattern. Strong beardays surround spin tops.

FallingThree

Five day pattern. Outerblack candles engulf thethree middle candles.

EveningStar

Long White CandleGap UpGap Down, Long Blk

Hangman /Shooting Star

• White or Black• At Resistance• Shadow 2/3 of Body

3 BlackCrows

Bullish RestAfter Battle

Similar to the rising 3pattern. Strong bullishdays surround spin tops.

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Top 21Candlestick

Patternswww.TradeSmartU.com

3 WhiteSoldiers

3 strong white candlesEach with higher closeClose at or near high

3 strong black candlesEach with lower closeClose at or near low

Hangman ShootingStar

Wht.Soldier Blk. Crow

C C R

R R

C C R

C C

Open

Close

Close

Open

High(Shadow)

Low(Shadow)

Body

Candle Construction