Candlestick Patterns
Recognize powerful reversal and continuation patterns
4 sections · 3 quiz questions · ~5 min read
Guided course path
Keep candlestick patterns inside the live track.
You are reading a reference lesson. The live course path gives you the lesson order, checks, saved progress, and next step. This is the clearest live path for trend, levels, candles, and multi-timeframe chart reading.
Closest track: Technical Analysis + Price ActionFirst lesson: The top-down framework
Single Candle Patterns
The Doji has equal open and close (indecision). The Hammer has a long lower wick at support (bullish reversal). The Shooting Star has a long upper wick at resistance (bearish reversal). These are your first clues.
Engulfing Patterns
A Bullish Engulfing occurs when a green candle completely engulfs the previous red candle — strong buying signal. A Bearish Engulfing is the opposite. These are among the most reliable reversal patterns.
Morning & Evening Stars
The Morning Star is a 3-candle bullish reversal: large red candle, small-bodied candle (indecision), then large green candle. The Evening Star is the bearish mirror. These form at key support and resistance levels.
Context Is Everything
A hammer at support is powerful. A hammer in the middle of nowhere is meaningless. Always read candlestick patterns in context — at key levels, after trends, and with volume confirmation. Pattern + location = edge.
Quick check
Did it stick?
Try to answer each one before you peek at the explanation.
1
Which candlestick pattern signals indecision in the market?
2
A Bullish Engulfing pattern is when a green candle completely covers the previous red candle.
3
Match the pattern to its signal:
Hammer at Support→Bullish Reversal
Shooting Star at Resistance→Bearish Reversal
Doji→Market Indecision