Three White Soldiers

Appearance: Three consecutive white (green) candles of similar body size where the close of the previous candle is of similar value to the open of the subsequent candle.

Criteria: The three white (green) candles must be consecutive. They must have substantially the same size bodies. They should have opens at or about the level of the previous close.

Effect: Three white (green) Soldiers is a sign of strength in the market - especially after a period of congestion.

Note: In candlestick descriptions, "white (green)" refers to an up-bar, and "black (red)" refers to a down-bar. Individual traders prefer different bar colors. For example, we personally trade with candles set to green for up and red for down. (TradeStation defaults their Candlesticks to this color convention.) Most related textbooks use white (or green, if color is used) for up and black (or red) for down.