Question 1

What are candlestick patterns?

Accepted Answer

Candlestick patterns are specific formations created by one or more candlesticks on a price chart. Originally developed in 18th-century Japan for rice trading, these patterns help traders identify potential reversals, continuations, and moments of market indecision. Each candlestick shows four price points — open, high, low, and close — and the relationships between consecutive candles form recognizable patterns that signal shifts in market sentiment.

Question 2

How they work in StratBase

Accepted Answer

In StratBase, candlestick patterns are implemented as **indicator-based signals**. Each pattern is a binary indicator that outputs: - **1.0** — pattern is detected on the current candle - **0.0** — pattern is not present This means you use them in conditions just like any other indicator: ``` { left: "DOJI", operator: "greater_than", right: "0" } ``` The engine scans each candle (and its neighbors where needed) and marks where patterns appear. No additional parameters are required — patterns are

Question 3

Available pattern groups

Accepted Answer

StratBase includes **61 candlestick patterns** organized into 5 groups by signal direction:

Question 4

Bullish Reversal (16 patterns)

Accepted Answer

Patterns that signal a potential reversal from a downtrend to an uptrend: - **Hammer** — small body at the top, long lower shadow (2x+ body) - **Inverted Hammer** — small body at the bottom, long upper shadow - **Bullish Engulfing** — large green candle fully engulfs previous red candle - **Piercing Line** — green candle opens below prior low, closes above midpoint - **Morning Star** — three-candle pattern: red, small body, green - **Morning Doji Star** — morning star with a doji as the middle c

Question 5

Bearish Reversal (15 patterns)

Accepted Answer

Patterns that signal a potential reversal from an uptrend to a downtrend: - **Hanging Man** — hammer shape at the top of an uptrend - **Shooting Star** — inverted hammer at the top of an uptrend - **Bearish Engulfing** — large red candle fully engulfs previous green candle - **Dark Cloud Cover** — red candle opens above prior high, closes below midpoint - **Evening Star** — three-candle pattern: green, small body, red - **Evening Doji Star** — evening star with a doji as the middle candle - **Th

Question 6

Continuation (10 patterns)

Accepted Answer

Patterns that suggest the current trend will continue: - **Rising Three Methods** — long green, three small red, long green - **Falling Three Methods** — long red, three small green, long red - **Upside Tasuki Gap** — gap up followed by a small pullback candle - **Downside Tasuki Gap** — gap down followed by a small bounce candle - **Side by Side White Lines** — two similar green candles side by side - **Mat Hold** — strong trend candle, small retracement, continuation - **In Neck** — red contin

Question 7

Indecision (10 patterns)

Accepted Answer

Patterns that indicate market uncertainty: - **Doji** — open equals close (very small body) - **Long-Legged Doji** — doji with long upper and lower shadows - **Dragonfly Doji** — doji with long lower shadow, no upper shadow - **Gravestone Doji** — doji with long upper shadow, no lower shadow - **Spinning Top** — small body with shadows on both sides - **High Wave** — very long shadows relative to body - **Rickshaw Man** — doji variant with equal shadows - **Homing Pigeon** — smaller candle withi

Question 8

Universal (10 patterns)

Accepted Answer

Patterns that can signal either direction depending on context: - **Marubozu** — full body candle with no shadows - **Belt Hold** — opens at extreme, strong directional candle - **Counterattack** — opposite candle closing at same level - **Tri Star** — three consecutive doji candles - **Breakaway** — gap followed by progressive weakening - **Ladder Bottom/Top** — progressive pattern with final reversal candle - **Two Crows** — gap up, two red candles pattern - **Three Stars in the South** — thre

Question 9

Example conditions

Accepted Answer

| Condition | Meaning | |-----------|---------| | `DOJI > 0` | Doji pattern detected on current candle | | `BULLISH_ENGULFING > 0` | Bullish engulfing pattern detected | | `HAMMER > 0` | Hammer pattern detected | | `EVENING_STAR > 0` | Evening star pattern detected |

Question 10

Tips

Accepted Answer

- Candlestick patterns work best when combined with trend indicators (SMA, EMA, ADX) for confirmation - Single-candle patterns (Doji, Hammer) are less reliable alone — combine with support/resistance levels - Multi-candle patterns (Morning Star, Three White Soldiers) are generally more reliable - Use pattern presets to quickly add common pattern groups to your strategy - Patterns at key price levels (previous day high/low, pivot points) carry more significance - Higher timeframes (4h, daily) pro