Japanese Candlestick Cheat Sheet – Part Three- 3 candle patternsSo far in this series, we've broken down single candle formations ( Part 1 ) and explored double candle signals ( Part 2 ) — the kind of patterns that give you quick, often powerful hints about the market’s mood.
But now it’s time to go a step further.
👉 In Part 3, we dive into triple candlestick formations — patterns that take more time to form, but often offer stronger confirmation and a more reliable narrative.
They’re like reading three full sentences from the market instead of just one or two words.
If you’re ready to spot momentum shifts (not noise), this lesson is for you.
Let’s decode the story behind formations like Morning Star, Three White Soldiers, and so on.
MORNING STAR
Bias: Bullish
What is the Morning Star pattern?
The Morning Star pattern consists of a bearish candle, a small-bodied middle candle, and a bullish candle, forming at the end of a downtrend to signal potential reversal. This pattern reflects a shift from seller dominance to buyer strength, as the middle candle marks a pause before a reversal. The Morning Star is a reliable signal that buyer interest is reemerging.
Understanding Morning Stars helps traders anticipate shifts in momentum, providing valuable entry points for new uptrends.
Meaning:
Found in downtrends; signals potential bullish reversal as buyers gain control, with strength confirmed by the third candle closing above the first.
BULLISH ABANDONED BABY
Bias: Bullish
What is the Bullish Abandoned Baby pattern?
The Bullish Abandoned Baby is a rare but powerful reversal pattern that consists of a bearish candle, a gapped doji, and a bullish candle. The middle doji reflects indecision, while the third bullish candle confirms the reversal. This pattern highlights a dramatic shift in sentiment, showing that buyers are prepared to take control.
Recognizing the Bullish Abandoned Baby can offer traders insights into pivotal market shifts.
Meaning:
Appears in downtrends; suggests a strong bullish reversal, as the middle doji shows indecision, with confirmation by a strong bullish move.
THREE WHITE SOLDIERS
What is the Three White Soldiers pattern?
The Three White Soldiers pattern consists of three consecutive bullish candles, each closing higher than the last, often appearing in downtrends to signal a potential bullish reversal. This pattern reflects sustained buying pressure, indicating that buyer sentiment is strong. Psychologically, it shows that buyers are steadily gaining confidence, pushing prices upward.
For traders, Three White Soldiers provide a clear signal of momentum, ideal for capturing emerging trends.
Meaning:
Found in downtrends; signals potential trend reversal, showing sustained buying strength, often signaling the start of a bullish trend.
MORNING DOJI STAR
What is the Morning Doji Star pattern?
The Morning Doji Star pattern is similar to the Morning Star, but with a doji as the middle candle, indicating greater indecision before a reversal. This pattern consists of a bearish candle, a doji, and a bullish candle, highlighting a transition from bearish to bullish sentiment. The doji reflects a moment when market sentiment is balanced, but the third candle confirms a bullish shift.
Interpreting Morning Doji Stars can help traders identify turning points in downtrends, providing valuable entry opportunities.
Meaning:
Appears in downtrends; signals potential bullish reversal, with indecision from the doji and confirmation by a strong bullish candle.
EVENING STAR
What is the Evening Star pattern?
The Evening Star is a three-candle pattern that appears at the top of an uptrend, signaling a potential bearish reversal. It consists of a bullish candle, a small-bodied middle candle, and a bearish candle, showing a transition from buyer control to seller strength. This pattern often appears at market peaks, where optimism is giving way to caution.
Understanding the Evening Star pattern helps traders anticipate downtrend formations, allowing them to time their exits.
Meaning:
Found in uptrends; signals potential bearish reversal as sellers gain control, confirmed if the third candle closes below the first.
BEARISH ABANDONED BABY
What is the Bearish Abandoned Baby pattern?
The Bearish Abandoned Baby is the bearish counterpart to the Bullish Abandoned Baby and consists of a bullish candle, a gapped doji, and a bearish candle. This pattern reveals a dramatic shift in sentiment from bullish to bearish, highlighting a sudden reversal at the top of an uptrend.
Recognizing the Bearish Abandoned Baby can offer traders insight into market tops and impending trend changes.
Meaning:
Appears in uptrends; indicates strong bearish reversal, as indecision in the doji is followed by selling strength.
THREE BLACK CROWS
What is the Three Black Crows pattern?
The Three Black Crows pattern consists of three consecutive bearish candles, each closing lower than the last, appearing in uptrends to signal potential reversal. This pattern reflects sustained selling pressure, indicating that sellers are gaining control. The Three Black Crows highlight a moment when buyer confidence wanes, marking the beginning of downward momentum.
For traders, this pattern provides a clear signal to avoid buying into weakening trends or even entering short trades.
Meaning:
Found in uptrends; signals potential bearish reversal, with sustained selling pressure often marking the start of a downtrend.
EVENING DOJI STAR
What is the Evening Doji Star pattern?
The Evening Doji Star is similar to the Evening Star, but with a doji as the middle candle, highlighting greater indecision. This pattern consists of a bullish candle, a doji, and a bearish candle, indicating a shift from bullish to bearish sentiment. The doji suggests that buyers are losing control, with sellers prepared to reverse the trend.
Understanding Evening Doji Stars allows traders to recognize market tops, helping them avoid overextended trends.
Meaning:
Appears in uptrends; signals potential bearish reversal, as the doji suggests indecision, confirmed by strong selling on the third candle.
