Three black crows

Three black crows

• Direction: Bearish
• Type: Reversal
• Reliability: Moderate


• After an uptrend, three consecutive long red days occur
• Each day closes lower than the previous day.


Following an uptrend, three long red days with consecutively lower closes act as a strong indicator, certainly the very definition of a downtrend, and almost assuring future bearish trends.

The Bearish Three Black Crows serves as a clear and rather obvious signal of pause in the bullish move. Although one strong bearish candle can be reasonably expected during a bull trend, the second and third days suggest profit taking and consolidation of the bull trend.

The patterns stresses caution for those looking to long a particular currency pair.

Candlestick traders will watch for more bearish or ranging markets to come, but if the candles are too overextended analysts will worry that the market may now be oversold and pause accordingly.

AKA: Bearish Identical Three Crows. Before multicolour monitors, many charting packages used black candle to designate downward candle bodies, hence the name Three Black Crows.