A triple candlestick pattern, a formation of three candlesticks, signifies potential trend reversals or continuations in the world of trading. This specific chart pattern holds significance for investors and traders seeking insights into the future behavior of security prices.

The structural elements of triple candlestick patterns are crucial for interpretation. Each pattern consists of three candlesticks with varying body sizes and upper/lower shadow lengths. The signals derived from these patterns depend on the specific type within the category of fifteen distinct triple candlestick patterns.

The diverse types include morning star doji, evening star, three white soldiers, bullish abandoned baby, rising three, three outside up, and many more. Each pattern imparts unique information, guiding traders in their decision-making processes.

Investors utilize triple candlestick patterns extensively in technical analysis to forecast forthcoming price movements. Through careful study and analysis, traders identify patterns and make informed decisions regarding entry and exit points for their trades. These patterns play a pivotal role in shaping effective trading strategies.

What does a Triple Candlestick mean?

A triple candlestick pattern, comprising three candlesticks, is a distinctive chart formation denoting potential market trends. This term encompasses a diverse category of fifteen patterns, each composed of three candlesticks. Candlesticks utilize historical price data, representing open, close, high, and low prices, to predict future market movements. The triple candlestick pattern comprises three of these candlesticks, forming specific structures.

Within the realm of technical analysis, triple candlestick patterns play a crucial role in forecasting market behavior. These patterns act as significant indicators for predicting bullish and bearish trend reversals or continuations. The signals emitted by triple candlestick patterns are contingent upon the specific type within this category.

Patterns like the morning star, morning star doji, bullish abandoned baby, three white soldiers, three inside up, and three outside up signal bullish reversals. Conversely, patterns such as the evening star, evening star doji, bearish abandoned baby, three black crows, three inside down, and three outside down indicate bearish reversals. Additionally, patterns like the rising three and falling three suggest trend continuation. Traders rely on these patterns to strategically plan their market entries and exits.

How is a Triple Candlestick Pattern structured?

A triple candlestick pattern is structured with three candlesticks, each having varying body lengths and upper/lower shadows. The specific structure depends on the type of triple candlestick formed, with each candlestick having distinct conditions to fulfill. Traders need to identify these specific candlestick patterns to recognize a triple candlestick pattern. The basic structure of a candlestick includes a rectangular body and upper/lower lines marking daily high and low prices. Different triple candlestick formations, totaling fifteen, each have a unique structure and interpretation, requiring traders’ awareness.

How is a Triple Candlestick Pattern structured

The image illustrates the basic structure of a candlestick, with a body and upper/lower wicks representing daily high and low prices. Bearish candlesticks, indicating price drops, are filled with dark colors, while bullish ones, representing price increases, are green or white. The following images depict two triple candlestick formations: the morning star and evening star patterns. The morning star signals a bullish reversal with a bearish candlestick, a small-bodied candlestick, and a bullish one. Conversely, the evening star signals a bearish reversal with a bullish candlestick, a small-bodied one, and a bearish one.

Another triple candlestick pattern, the three inside down, is illustrated, showing three candlesticks with specific conditions. The first is a bullish candlestick with a long body, followed by a second bearish one with a body more than half the length of the first, and finally, a third bearish one with a close lower than the second. This structure signifies a bearish trend reversal. Each of the fifteen triple candlestick formations has a distinct structure, conveying specific signals to investors and traders.

What are the Different Types of Triple Candlestick Patterns?

There are fifteen main types of triple candlestick patterns, each conveying distinct signals to investors and traders. These patterns indicate bullish or bearish trend reversals or signal trend continuation. The fifteen types are listed below.

1. Morning Star Doji 

A morning star doji is a bullish trend reversal pattern, comprising a long bearish candlestick, a doji, and a tall bullish candlestick. The doji, a key element, represents market indecision and foreshadows the impending reversal. The pattern occurs when bears lose dominance, leading to a balanced open and close, forming the doji. Following the doji, a bullish candlestick emerges as bulls gain control, signaling the reversal.

Morning Star Doji

Identified by a distinct structure, the morning star doji starts with a tall bearish candlestick, followed by a doji and a tall bullish candlestick. Notably, the morning star doji differs from the morning star pattern in the central candlestick formation. In the morning star doji, the central candlestick is a doji, emphasizing market uncertainty more than the morning star pattern with its small-bodied candlestick.

2. Morning Star

A morning star candlestick pattern marks a bullish reversal, featuring a tall bearish candlestick, a small-bodied central candlestick, and a long bullish candlestick. It signals a shift from a downtrend to an uptrend. Recognizable by three candlesticks—a long bearish one, a small-bodied one, and a long bullish one—the pattern indicates market indecision.

morning star candlestick pattern

Formed amidst market indecision after a downtrend, a morning star pattern signifies the bulls gaining momentum. The small-bodied central candlestick represents the battle between bulls and bears, leading to the final bullish candlestick as the bulls take control.

Distinguished from morning star doji patterns, morning star candlesticks have a small-bodied middle candlestick, while morning star doji patterns feature a doji in the middle. Morning star candlesticks are the opposite of evening star patterns, indicating bearish reversals.

3. Evening Star Doji

An evening star doji is a triple candlestick pattern signaling upcoming bearish trend reversals. Comprising a long bullish candlestick, a central doji, and a bearish candlestick, it predicts trend reversals. The distinct structure is visible in the image, depicting a doji between bullish and bearish candlesticks.

Evening Star Doji

Forming over three days, the evening star doji appears at the end of a bullish trend, indicating an imminent shift to bearish. The middle doji reflects market indecision before the reversal. Opposite to the morning star doji, the evening star doji pattern exhibits higher market indecision than the evening star pattern.

4. Evening Star 

Evening star patterns offer valuable insights for traders anticipating a shift from a bullish to a bearish market sentiment. The transition is evident in the short-bodied candle, indicating a weakening bullish hold. The middle candle signals uncertainty, reflecting the tug-of-war between bulls and bears. Finally, the dominant bearish candle confirms the trend reversal, prompting traders to consider short positions.

Evening star candlestick pattern

Traders and investors keenly watch evening star patterns for strategic decision-making. Recognizing this distinctive triple candlestick formation can guide them in adjusting their portfolios, executing timely trades, and managing risks effectively. Evening star patterns, when combined with other technical indicators, contribute to a comprehensive analysis, enhancing the accuracy of predictions in the dynamic financial markets.

5. Three White Soldiers 

The three white soldiers, a powerful bullish reversal pattern, consists of three consecutive strong bullish candlesticks. In this pattern, each candle opens within the previous one’s body and closes above its high, signaling a strong upward momentum. While often depicted in white or green, the color signifies bullish strength. Traders value this pattern’s reliability, frequently combining it with indicators like the Relative Strength Index (RSI) for enhanced analysis. Notably, the absence of long shadows suggests sustained bullish control. Recognizing the three white soldiers aids traders in identifying potential upward shifts in market sentiment.

Three White Soldiers

Identifying the pattern entails observing three consecutive bullish candles, each opening within the preceding one’s body and closing above its high. The open-close relationship between candlesticks is a crucial aspect for pattern recognition. The three white soldiers pattern belongs to the category of bullish triple candlestick formations, offering insights into potential trend reversals. Its counterpart, the three black crows, represents a bearish reversal. Combining technical indicators enhances the pattern’s effectiveness for traders navigating dynamic market conditions.

6. Three Black Crows

Three black crows, a formidable bearish reversal signal, materializes through three consecutive long bearish candlesticks. Each candlestick opens within the previous one’s body and closes below its low price. The color of the candlesticks, whether red or black, serves as an indicator of bearish sentiment. Observing minimal or absent shadows in these candlesticks underscores the bears’ control and their ability to drive prices lower.

Three Black Crows

As the three black crows pattern emerges, bears assert dominance over bulls, marking a shift in market sentiment. The absence of shadows or the presence of insignificant ones indicates successful bearish control, dragging prices downward. Identifying this pattern involves recognizing three consecutive long red or black candlesticks, with each opening within the preceding one’s body and closing below its low. This pattern is a bearish trend reversal indicator, contrasting with the bullish trend reversal signaled by the three white soldiers candlestick pattern. Combining the insights of the three black crows with other technical indicators enhances its reliability for traders navigating market complexities.

7. Bullish Abandoned Baby 

The bullish abandoned baby is like a market superhero, swooping in to signal the end of a downtrend. Imagine it as a three-part story told by candlesticks. First, a big bearish one kicks things off, setting the stage for change. Next, a doji enters, creating a balance between buyers and sellers—kind of like a timeout in a game. Lastly, a bullish candlestick bursts onto the scene, symbolizing the comeback of the buyers, pushing prices higher.

Bullish Abandoned Baby

But wait, there’s a twist! Sometimes, you might spot more than one doji in the middle, adding extra layers to the plot. It’s like a movie with unexpected turns. And here’s a fun fact: the bearish abandoned baby is the opposite of its bullish counterpart, both being rare patterns that bring a high level of accuracy, like hitting the bullseye in archery. So, keep an eye out for these patterns—they’re like secret codes in the language of the market.

8. Bearish Abandoned Baby 

The bearish abandoned baby is like a market magician, revealing the end of an uptrend. Picture it as a three-part drama played out by candlesticks. First, a robust bullish candlestick kicks off the scene, marking the peak of the uptrend. Next, a doji enters, creating a pause in the action, signaling a balance between buyers and sellers. Finally, a bearish candlestick takes the stage, gapping lower, indicating the bears are seizing control.

Bearish Abandoned Baby

Just like its bullish counterpart, the bearish abandoned baby often features gaps between its candlesticks, adding a touch of suspense. This pattern is like the plot twist that signals a shift in the market storyline. It’s a reliable indicator of a bearish trend reversal, making it a valuable tool for traders. Keep in mind, though, that these abandoned baby patterns are quite rare, making them special guests in the world of candlestick formations. And remember, the bullish abandoned baby is the flip side of the bearish one, creating a dynamic duo of market signals.

9. Rising Three

The rising three is like the cheerleader of a bullish trend, signaling a triumphant continuation. Visualize it as a five-act play performed by candlesticks. It unfolds amid an uptrend, with a robust bullish candlestick taking the lead. Following that, three bearish candlesticks with modest bodies make their appearance, trading below the high and above the low of the preceding candlestick. The grand finale features another powerful bullish candlestick.

Rising Three

Spotting the rising three requires a keen eye for its distinctive five-candlestick formation. The fifth and final act is crucial, breaking the high of the first candlestick and closing above it. This closing act serves as confirmation that the bullish trend is ready to roll on.

The rising three emerges when a robust uptrend takes a brief pause before gearing up for another bullish surge. Those three bearish candles with petite bodies signify a momentary breather, as the bulls assess the trend’s strength. The grand finale reaffirms the bulls’ dominance and seals the deal for the uptrend to persist.

Unlike trend reversal indicators like the morning or evening star, or the three white soldiers and three black crows, the rising three doesn’t dance with trend reversals. Instead, it acts as a trend strength evaluator, giving a nod to the bullish trend’s endurance. It’s the yin to the yang of the falling three, which leans toward bearish trend continuation.

10. Falling Three 

The falling three is a bearish five-candlestick pattern that keeps the bearish trend rolling. Picture it as a five-act drama enacted by candlesticks. Unfolding within a bearish trend, it features a robust initial bearish candlestick stealing the spotlight. Next, three bullish candlesticks with petite bodies enter the stage, trading below the high and above the low of the preceding candlestick. The grand finale boasts another commanding bearish candlestick.

Falling Three

To spot the falling three, look for its unique five-candlestick arrangement. The fifth and final act is crucial, breaking the low of the first candlestick and closing below it. This final act serves as confirmation that the bearish trend is set to persist.

The falling three materializes when a potent downtrend takes a brief hiatus before resuming its downward trajectory. Those three bullish candles with compact bodies signify a momentary breather, as the bears evaluate the trend’s potency. The grand finale reaffirms the bears’ dominance and seals the fate for the downtrend to persist.

Unlike trend reversal indicators like the morning or evening star, or the three white soldiers and three black crows, the falling three doesn’t entertain thoughts of trend reversal. Instead, it acts as a trend strength evaluator, giving a nod to the bearish trend’s endurance. It’s the antithesis of the rising three, which leans toward bullish trend continuation.

11. Three Outside Up 

The three outside up is a bullish triple candlestick pattern. Imagine it as a three-act play performed by candlesticks. Act one starts with a bearish candlestick, followed by act two featuring a bullish candlestick with a body longer than the entire first act. The climax in act three sees another bullish candlestick closing higher than the second act. Check the image for the unique formation of this triple act.

Three Inside Up

This bullish pattern unfolds at the end of a downtrend, initiating with a bearish candlestick. Act two opens lower but ends with a twist, closing higher than the previous act’s high. The final act marks the bulls seizing control from the bears, affirming an impending trend reversal.

Picture three outside up as the optimistic counterpart to three outside down candlesticks, which signal bearish trend reversals. Both patterns delve into market psychology, tracking shifts in sentiment to predict trend changes.

12. Three Outside Down 

The three outside down is a bearish triple candlestick pattern – a three-act drama performed by candlesticks. Act one starts with a bullish candlestick, followed by act two featuring a bearish candlestick with a body longer than the entire first act. Act three brings the climax, as another bearish candlestick closes lower than the second act. Observe the image for the distinct formation of this three-act play.

Three Outside Down

This bearish pattern emerges at the end of a bullish trend, beginning with a bullish candlestick. Act two opens higher, still playing along with the bullish vibe, but takes a twist, closing lower than the previous act’s low. The final act unfolds as the bears completely take control from the bulls, confirming an imminent bearish trend reversal.

Think of three outside down as the pessimistic counterpart to three outside up candlesticks, signaling bullish trend reversals. Both patterns delve into market psychology, decoding shifts in sentiment to forecast trend changes.

13. Three Inside Up 

The three inside up is a bullish triple candlestick pattern – a three-step dance of candlesticks signaling a shift in market sentiment. The performance begins with a long bearish candlestick, followed by a smaller bullish candlestick whose open and close prices nestle within the first act’s body. The final act is a strong bullish candlestick closing above the middle act’s close. The image illustrates the unique structure of this bullish trio.

This bullish pattern emerges towards the end of a downtrend, featuring an initial bearish act. Initially, the sellers dominate the stage. The second act opens within the first’s body, closing higher, indicating a trend change. The third act solidifies the bullish reversal by closing higher than the preceding act.

Three inside up is the optimistic counterpart to three inside down candlesticks, signaling bearish trend reversals. While both patterns provide signals for trend reversals, their reliability is considered lower compared to other triple candlestick patterns. Investors view these signals as short-term and of limited reliability.

14. Three Inside Down 


The three inside down is a bearish triple candlestick pattern, a three-step warning of a potential shift in market sentiment. The act opens with a long bullish candlestick, followed by a smaller bearish candlestick whose open and close prices remain within the body of the first act. The finale is a strong bearish candlestick closing below the middle act’s close. The image outlines the distinct structure of the three inside down candlestick pattern.

Three Inside Down

This bearish trio makes its appearance towards the end of an uptrend, with the first candlestick portraying a bullish dominance. The second act opens within the first’s body, closing lower, signaling a trend reversal. The third act confirms the bearish trend reversal by closing below the preceding act’s close.

Contrary to the bullish three inside up candlesticks, the three inside down pattern has limited reliability among investors. The signals it provides for trend reversal are often deceptive and do not result in a significant shift. Investors consider the three inside down pattern as a short-term signal lacking long-term reliability.

15. Tristar


A tristar pattern, a trio of consecutive doji formations, is a signal for potential bullish or bearish trend reversals. Each doji, where open and close prices nearly align, forms a distinct cross-like shape, as shown in the image above. Investors easily recognize tristar patterns by identifying three consecutive doji candlesticks at the tail end of an extended market trend.

Tristar

This rare pattern emerges towards the conclusion of a prolonged market trend, be it bullish or bearish. The doji trio reflects market indecision, marking a potential trend reversal. Bearish tristar patterns signal a shift after a bullish trend, while bullish tristar patterns indicate a reversal following an extended bearish period.

The tristar doji, an uncommon occurrence, serves as a potent indicator for a sharp trend reversal. The presence of three consecutive doji candlesticks signifies heightened market uncertainty, greatly enhancing the likelihood of a trend reversal.

Investors and traders benefit from recognizing the distinctive features of each triple candlestick pattern, facilitating accurate identification on price charts. This proficiency aids in formulating effective investment strategies.

What is the most powerful Triple Candlestick Pattern?

No single triple candlestick pattern stands out as the most powerful. Each of the fifteen patterns has its strengths and weaknesses. To maximize accuracy, combine triple candlestick patterns with indicators like RSI. Patterns like three white soldiers, three black crows, tristar, and abandoned baby (both bearish and bullish) are robust and dependable.

How to use Triple Candlestick Patterns in Technical Analysis?

Use triple candlestick patterns in technical analysis through three steps. First, study the fifteen patterns to identify their signals. Each pattern predicts different trend reversals, influencing investment strategy. Second, closely examine the security’s price chart to spot these patterns. Third, confirm signals by using other technical indicators. Crosscheck to avoid losses from false signals. Plan trading strategies based on predicted trend reversals, such as shorting for bearish signals and holding for bullish ones.

What Indicators are best with Triple Candlestick Patterns?

Combine triple candlestick patterns with momentum-based indicators like RSI, Stochastic Indicator, and MACD for trend confirmation. Use technical indicators signaling overbought or oversold levels to confirm triple candlestick predictions. This confirmation helps plan trading and investment strategies accurately.

Combine triple candlestick patterns with indicators like RSI, Stochastic, and MACD to confirm trends. Look for indicators showing overbought or oversold levels to validate triple candlestick signals. This confirmation helps plan your trading and investment strategies with confidence.

Does the Relative Strength Index (RSI) work well with Triple Stick Patterns?

Yes, RSI works well with triple candlestick patterns. RSI signals overbought and oversold levels, predicting bearish and bullish trends. Combining RSI with triple candlestick patterns helps investors validate signals and confirm trend reversals when both indicators align.

Are Triple Candlestick Patterns Profitable?

Yes, triple candlestick patterns are profitable when used along with other technical indicators. It is also important to take the prevalent market conditions into account along with the results produced by the triple candlestick patterns to ensure maximum gains and avoid incurring losses.

Are Triple Candlestick Patterns reliable?

Yes, triple candlestick patterns are reliable when used along with other technical indicators. Investors and traders mostly do not use triple candlestick patterns in isolation to avoid incurring losses through any false signal that the triple candlestick patterns produce. By using alternative indicators along with triple candlestick patterns, investors and traders can plan their strategies more effectively.

Are Triple Candlestick Patterns bullish or bearish?

Triple candlestick patterns can be bullish or bearish. Patterns like morning star, morning star doji, bullish abandoned baby, three white soldiers, three inside up, and three outside up signal bullish trend reversals. Other patterns like evening star, evening star doji, bearish abandoned baby, three black crows, three inside down, and three outside down signal bearish reversals.