Independent Forex Trading

Three Black Crows Candlestick Pattern

The three black crows candlestick pattern is composed of three large bodied candlesticks all closing lower and with relatively small upper and lower shadows.

three-black-crows-candlestick.jpg

Three Black Crows Candlestick Pattern Analysis

The three black crows candlestick pattern represents a possible reversal to the downside. Similar to other reversal patterns, the three black crows candlestick pattern is most significant when it is preceded by an established trend - in this case, an up trend.

Confirmation

The three black crows candlestick pattern becomes increasingly relevant when the following occur:

  • All three candles contain large bodies with closing values lower for each time period. The upper and lower shadows are absent or relatively small.
  • It is preceded by a strong up trend.
  • Overbought indicators confirm a change in market direction.

Forex Trading Ideas

The three black crows candlestick pattern may be traded alone, or with a combination of signals and/or indicators. For example:

  • Step 1 – Wait for a three black crows candlestick pattern to appear during an established up trend.
  • Step 2 – Confirm oversold conditions using the Relative Strength Index Indicator.*
  • Once conditions 1 – 2 are met place an entry order.

*Additional confirmation ideas – confirm the three black crows candlestick pattern when it appears outside of the Bollinger Band or when the Stochastic Oscillator signals an overbought condition.

Never Miss a Trade Opportunity Again

Candlestick Pattern Recognition Robot

Continuously monitor all currency pairs and time compressions around the clock for important candlestick patterns using the Candlestick Pattern Recognition Robot. Get Your Copy Today.

Customization

By adding additional confirmation signals and indicators the three black crows candlestick pattern has the potential to become increasingly accurate in predicting a trend reversal to the upside. FxSpyder provides integrated customization tools for hands free trade automation using the JavaScript Object Model. Full details are included in the Help Section of the FxSpyder trading application.

Want Fast Robot Customizations?

FxSpyder provides complete script customization services with a short turn-around time and for a reasonable price. Plus, who better to create your FxSpyder autotrading scripts than the FxSpyder Programming Team. Contact Us Today.

Download Free Candlestick Pattern Recognition Robot
Live Chat