Trading isn’t just about the obvious candles. Some subtle patterns often fly under the radar but can reveal potential trend shifts or reversals. Let’s look at 5 patterns that many traders overlook.
– Appears after a downtrend.– Small body, long upper shadow.– Signals that buyers are testing the market and a reversal may be near.
– Looks like an upside-down “T.”– Shows buyers tried to push higher but sellers regained control.– Often a warning for a potential bearish reversal.
– Small body with long lower shadow appears after a downtrend.– Indicates sellers pushed price down, but buyers regained strength.– A subtle bullish hint when confirmed by the next candle.
– Formed when a gap is followed by continuation candles.– Upside Gap signals trend continuation in an uptrend.– Downside Gap indicates trend continuation in a downtrend.
– Can appear bullish or bearish depending on trend.– Shows market hesitation and potential reversal.– Subtle, but powerful if confirmed by following price action.
Candlestick patterns aren’t magic, they show what traders are thinking.
Spotting the subtle ones gives you an edge in the market.