Investor Glossary-three white soldiersInvestor Glossary-three white soldiersInvestor Glossary-three white soldiersInvestor Glossary-three white soldiersInsightful stock market charts - Click here
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Three White Soldiers

The HTML to link to this page

In technical analysis, three white soldiers is a candlestick charting pattern -- it is a bullish reversal pattern. The three white soldiers is characterized by three long-bodied candles that occur on consecutive trading days. With a three white soldiers pattern, each day's opening price occurs within the body of the previous day's candle and each day's closing price occurs at or near that day's high. Some market technicians believe an optimal three white soldiers pattern will have the second and third "soldiers" opening in the top half of the preceding day's "soldier." However, the three white soldiers pattern is theoretically valid if the 2nd and 3rd day opening prices occur anywhere within the body of the previous candle. Technical analysts consider the three white soldiers a very bullish indicator when they appear after a long decline or after a long decline and subsequent period of consolidation. Three white soldiers appearing after a long advance is regarded more cautiously because it could signal a security is near its top and is about to reverse. The three white soldiers pattern does not appear frequently.

Rate this Three White Soldiers definition...

Learn about investing with the Investor Glossary Term of the Day

Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.

Popular Terms: option premium, command economy, retained earnings, deferred revenue, risk management, 401a, dividends payable, 1031 exchange, Zero Cost Collar, annual return, covered put, per diem, 144a, APR, liquidity ratio, FTSE, current ratio, average price per share, reverse mortgage, real GDP, limit order, stock market close, stock split, wholly-owned subsidiary, deferred tax, in escrow, labor relations, required rate of return, debt service coverage, FICO score, implied volatility, EBITDA, quality assurance, cancelled check, minority interest, margin rate, balance sheet, ex-dividend, class C shares, irrevocable trust, open position, 1035 exchange, phantom income, ex-dividend date, inflation, diluted share, VIX, Key Rate Duration, LIBOR

Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2015 Investor Glossary - All rights reserved - Terms of Use