Skip to main content

Three Outside Down

Bearish Confirmation Pattern

Three Outside Down - Bearish Confirmation Pattern

Pattern Overview

  • Bias:

    Bearish

  • Type:

    Confirmation Pattern

Description

Three candles with a second bearish candle engulfing the first bullish one, followed by a third bearish candle.

Meaning

Found in uptrends; signals confirmed bearish reversal, as selling pressure dominates and momentum turns downward.
Patterns Cheat Sheet

What is the Three Outside Down candlestick pattern?

The Three Outside Down consists of a bearish candle engulfing a bullish one, followed by another bearish candle. This pattern confirms a reversal, showing that selling pressure is mounting. For traders, the Three Outside Down provides a reliable indicator of trend change, helping them to align with bearish momentum.

The Chart Guys provide extensive resources to help traders identify, interpret, and trade with powerful confirmation patterns like the Three Outside Down.

Join The
Chart Guys!

To learn from other experienced traders and technical analysts, why not join our unique trading community? We can't wait to welcome you in our trading room to answer your questions and help you achieve your goals.
Check Out Membership

Follow Us On Social Media