Bullish Tri-Star Candlestick Pattern on Live Gold

What it shows

Each one gets a blue label marked 3S under the low of the third doji.

How Pravex works it out

1. All three candles must be dojis. In the bullish tri-star, a doji body is at most 5% of the candle’s range (high minus low), on a candle whose range is above zero.
2. The top of the middle doji’s body must be below the bottom of the first doji’s body and below the bottom of the third doji’s body. Only the bodies are compared.
3. No average body is used.
4. The downtrend the bullish tri-star needs is read from the first of the three dojis: by default its close must sit below the 50-candle simple average, and the trend setting can make the bullish tri-star test stricter or switch it off.

Settings

Setting	Default	What changing it does
Trend check	SMA50	Decides what counts as a downtrend before the bullish tri-star. By default one close is read against the 50-candle average; adding the 200-candle average asks for a longer trend before the bullish tri-star, and switching the check off ignores the trend completely.
Label colour	Blue (#2196F3)	The fill of the 3S label under the low of each candle where the bullish tri-star pattern is complete; its white text needs a colour it reads well on.

How traders read it

One doji after a fall is a pause. Three in a row, with the middle one lowest, is a market that has stopped falling and made a small rounded low. The third doji, back above the middle one, is the first sign of a lift.

Since dojis have small bodies, the pattern gives you little range to work with. The low of the middle doji is the obvious stop. Look for a rising candle with a real body after it before reading it as a turn.

When it misleads

Three dojis in a row usually means a very quiet market, not a turning one. A tri-star in a calm stretch often says nothing about the trend. The body gaps between dojis can be a few cents. For the bullish tri-star, one close under the 50-candle average counts as a downtrend. Wait for the close before trusting a bullish tri-star label on the latest candle, which is checked on each update and can lose its label.

Questions and answers

What is a bullish tri-star?

Three dojis after a fall, where the middle doji’s body sits below the bodies of the first and third.

Is the tri-star a strong pattern?

It is rare and often forms when the market is calm, where it means little. It counts for more after a long, busy fall.

How does the bearish tri-star differ?

The bearish tri-star: three dojis after a rise with the middle one above the other two.

Related: Tri-Star - Bearish, Doji, Morning Doji Star - Bullish, All Candlestick Patterns, every indicator.