Candle Patterns
Candlestick pattern recognition that automatically identifies classic reversal and continuation formations to support trading decisions.
Market Type
Best Timeframes
Difficulty
โ๏ธ Medium๐ Overview
The Candle Patterns feature is an advanced pattern recognition system that automatically identifies classic candlestick formations on your charts. This powerful tool scans for both bullish and bearish patterns, providing visual signals and alerts when significant formations appear, helping traders spot potential reversal and continuation opportunities.
The system recognizes 10 major pattern types including engulfing patterns, star formations, harami patterns, and soldier/crow sequences. Each pattern is marked with clear visual indicators and text labels, making it easy to spot high-probability setups as they develop in real-time.
โจ Key Features
10 Classic Pattern Types
Comprehensive coverage including engulfing, star, harami, and soldier formations
Real-Time Recognition
Patterns identified as they complete with visual markers and text labels
Bullish and Bearish Detection
Complete coverage of both reversal directions with orange arrow indicators
Customizable Display System
Toggle individual patterns on/off with alert notifications for pattern formation
โ๏ธ How It Works
๐ฌ The Technology Behind Road Levels
- โ Single, double, and triple candle formation detection
- โ Real-time scanning as candles complete
- โ Stochastic filtering for improved accuracy
- โ Orange arrows above (bearish) and below (bullish) candles
- โ Text abbreviations for each pattern type (BE, MS, TWS, etc.)
- โ Hover tooltips showing full pattern names
- โ Reversal patterns for trend changes
- โ Continuation patterns for trend following
- โ Context-aware pattern validation
๐ Visual Representation
Bullish Patterns (Orange Below)
Upward arrows below candles indicating bullish reversal or continuation signals
Bearish Patterns (Orange Above)
Downward arrows above candles indicating bearish reversal or continuation signals
Pattern Abbreviations
Text labels showing pattern codes: BE (Engulfing), MS (Morning Star), TWS (Three White Soldiers)
Alert Notifications
Optional notifications when significant patterns complete formation
๐ฏ Trading Modes Explained
Reversal Pattern Trading
- โ Focus on engulfing, star, and harami patterns
- โ Best performance at key support/resistance levels
- โ Combine with oversold/overbought indicators
- โ Use tight stops for risk management
Continuation Pattern Trading
- โ Three White Soldiers and Three Black Crows focus
- โ Trade in direction of prevailing trend
- โ Use patterns for precise entry timing
- โ Trail stops with trend movement
Pattern Confirmation Trading
- โ Validate support/resistance level tests
- โ Confirm trend indicator signals
- โ Time entries with pattern completion
- โ Reduce false signals through confluence
Multi-Timeframe Analysis
- โ Daily patterns for swing trade bias
- โ 4H patterns for day trading setups
- โ 1H patterns for intraday opportunities
- โ 15M patterns for scalping entries
๐ก Best Practices
Wait for complete pattern formation before entering trades - don't anticipate
Focus on patterns at key support and resistance levels for higher reliability
Look for volume confirmation with reversal patterns, especially engulfing formations
Use multiple timeframes to confirm pattern significance and context
Place stops beyond pattern extremes (high/low) for proper risk management
Quality over quantity - focus on clear, well-formed patterns
Combine patterns with trend direction for higher probability setups
Exit quickly if patterns fail - failed patterns often lead to strong moves opposite
Consider market conditions - trending markets favor continuation, ranging favor reversals
Practice pattern recognition on historical charts to improve identification skills
๐๏ธ Settings & Configuration
Reversal Focus (All Timeframes)
Continuation Trading (M15-H4)
Complete Pattern Suite (M1-D1)
โก Quick Setup Guide
- Add Candle Patterns indicator to your chart with default settings
- Note orange arrows: Above candles = bearish, Below candles = bullish
- Learn key pattern abbreviations: BE (Engulfing), MS (Morning Star), TWS (Three White Soldiers)
- Enable alerts for pattern completion notifications
- Start by focusing on 2-3 pattern types before expanding to full suite
๐ Complete Guide
๐ฏ Trading Strategies
Engulfing Pattern Reversal
EasyTrade bullish and bearish engulfing patterns at key support/resistance levels
- Wait for complete engulfing pattern formation at major S/R level
- Confirm with volume increase on engulfing candle
- Enter on next candle open in pattern direction
- Place stop beyond engulfed candle high/low
- Target next major support/resistance level
Star Pattern Trading
MediumUse morning and evening star formations for high-probability reversal entries
- Identify complete three-candle star formation
- Confirm middle candle shows indecision (small body/doji)
- Wait for third candle confirmation in reversal direction
- Enter on confirmation candle close
- Stop beyond pattern extremes with buffer
Three Soldiers/Crows Continuation
EasyTrade continuation patterns in established trends for momentum entries
- Confirm overall trend direction on higher timeframe
- Wait for three consecutive candles in trend direction
- Each candle should open within previous body
- Enter on pullback to soldiers/crows formation
- Trail stops with each new favorable candle
Pattern Confluence Trading
AdvancedCombine multiple patterns or pattern plus indicators for maximum probability
- Identify pattern formation at major technical level
- Look for additional confirmation (volume, oscillator divergence)
- Wait for multiple timeframe pattern alignment
- Enter with increased position size due to confluence
- Use pattern-based stops with technical level backup
Table of Contents
โก Quick Actions
๐ Feature Info
๐ How traders use this
Strategy guides from the blog that put Candle Patterns to work on a live chart.
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The Engulfing Candle: The Only Reversal Signal You Need
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The Inside Bar: Coiled Spring Strategy
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Tools to try
Single RelicusRoad indicators for MT4 and MT5, each one standalone.
๐ Ready to Master Candle Patterns?
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