3 Candle Rule: Spotting Reliable Stock Market Trend Reversals
The 3 candle rule is a simple and practical tool for traders to spot possible trend changes using candlestick charts. It looks at a pattern formed by three candles on a stock chart to hint if a trend may reverse. This article breaks down how the rule works, why traders like it, and how to use it in real trading situations. You'll also get tips for spotting fakeouts and making the most of the 3 candle rule strategy. Whether you're new to trading or already have some experience, this method can sharpen your market timing.
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