Bullish · reversal · reliability: high

Three Outside Up

A bullish engulfing followed by a third green candle continuing higher. Confirms the engulfing.

[ Schematic ]

Clean view of the three outside up in isolation.

[ In context · downtrend ]

After the downtrend, the pattern appears and price reverses higher.

What to do
BUY
Confirmation

Pattern is self-confirming.

When it's most reliable

Bullish reversal — stronger than engulfing alone.

The psychology behind it

Engulfing flips sentiment, follow-through cements it.

Like every candlestick pattern, the Three Outside Up is a probabilistic signal — not a guarantee. The strongest setups appear at clear support / resistance levels, with a directional bias from higher timeframes, and ideally with volume confirmation. Always combine candlestick reads with structure and trend context.

Related patterns

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