Category: 2 Candle Patterns

Dark Cloud Cover

The dark cloud cover candlestick pattern is a bearish two candle reversal pattern that appears at the top of a prevailing uptrend. The first candle is a long full bodied bullish candle, signaling the progression of the current trend. The second candle is the most important, and signifies a potential reversal. The second candlestick’s open

Doji Star Bullish

There are two versions of the Doji Star candlestick pattern, a bullish and bearish, this overview will cover the bullish pattern version. In theory the bullish Doji Star acts as a bullish reversal most of the time, while the bearish version acts as a bearish reversal signal. But according to Bulkowski both patterns do not

Engulfing Bullish

The bullish and bearish Engulfing candlestick pattern formations are some of the most coveted candlestick patterns traders can make profitable trade off of. No matter where you are in your trading journey, you have undoubtedly heard of Engulfing candles. And there’s a reason for that — they work! The Engulfing patterns are simple, accurate and

Harami Cross Bullish

The Harami Cross candlestick pattern has a bullish and bearish version, both are very similar but we’ll be talking about the bearish version because it gives a slightly better performance. The Harami Cross pattern should not be confused with the regular Harami candle pattern. The first candle in the bearish Harami Cross is a large

Harami Bullish

The bullish and bearish Harami candlestick patterns are very similar to the engulfing patterns, with the main difference being that Harami candlesticks can both be the same candle type, so both candles are allowed to be bullish or bearish. The Harami pattern consists of two individual candles. The first candlestick should be a large candle

In Neck

The In Neck candlestick pattern is a slightly different version of the On Neck pattern. Just like the On Neck pattern, the In Neck begin with a large full bodied bearish candle. The second candle should be a smaller bullish candle that opens below the low of the first candle and moves up to close

Inverted Hammer

The Inverted Hammer candlestick pattern is a two candle pattern that in theory acts as a bullish reversal signal. But even with this said, single candle patterns aren’t always reliable as standalone candles, which is why it’s important to wait for a confirmation candle before placing a trade. The Inverted Hammer is nearly the same

Matching Low

The Matching Low candlestick pattern is a two-candle formation that in theory is supposed to act as a bullish reversal signal. But according to Bulkowski’s testing, and likely due to the fact that this candlestick formation appears mostly in downtrends, the Matching Low pattern acts as a bearish continuation pattern around 61% of the time.

Meeting Lines Bullish

The Meeting Lines candlestick pattern is a two candle pattern formation that acts as a bullish reversal signal around 56% of the time. There is a bullish and bearish version of this pattern, but this post will refer to the bullish version. The first candle is a large full bodied bearish candle. The second candle

On Neck

The On Neck candlestick pattern is a two candle bearish continuation pattern that appears most often in down trends. The first candle is a large full bodied bearish candle. The second candle is a smaller bullish candle that opens below the body of the first candle and rises up to close at or near the