Three Black Crows
The Three Black Crows are the opposite of the Three White Soldiers: three consecutive large bearish candles, each with an open within the previous body and a close near the low.
Realistic chart representation
Look for this pattern at the end of a consolidated uptrend, preferably on a key resistance level. Do not trade against the long-term trend.
What is the Three Black Crows pattern?
The Three Black Crows are the opposite of the Three White Soldiers: three consecutive large bearish candles, each with an open within the previous body and a close near the low. It's a powerful signal of trend change or acceleration of an ongoing downtrend.
How do you trade Three Black Crows?
Why does the Three Black Crows pattern work?
The Three Black Crows is the bearish counterpart of the Three White Soldiers — three consecutive large bearish candles that indicate sustained, progressive selling pressure. Each candle should open within the previous body and close near its low, producing a descending staircase. The pattern typically appears at the end of an uptrend or after a consolidation.
The ideal Three Black Crows has: (1) three candles of similar or increasing size, (2) each open within the previous body, (3) each close near the candle's low (minimal lower shadow), (4) progressively increasing volume. When all conditions are met, the pattern represents a textbook bearish takeover.
Like the Three White Soldiers, this pattern often indicates short-term oversold conditions after the third candle. A bounce or consolidation is normal before the downtrend continues. Professional traders often wait for a bounce to the first or second candle's area before entering short, getting a better entry and tighter stop-loss placement. Entering immediately after the third candle means selling at extended levels, which is suboptimal.