The three common candlestick reversal patterns are as follows:

1. Engulfing Pattern: Before the engulfing pattern, the market must be in a clearly discernible uptrend or downtrend. This pattern consists of 2 candlesticks, where the body of the second candlestick must completely cover the body of the first candlestick, and the color of the second body must be opposite to that of the first body. For example, in a continuous downtrend, the appearance of a large bullish candlestick that engulfs the previous bearish candlestick indicates strong buying power, and this candlestick combination is a bullish engulfing pattern, suggesting a bullish outlook; conversely, in a continuous uptrend, a large bearish candlestick that engulfs the previous bullish candlestick indicates strong selling power, which is a bearish engulfing pattern, suggesting a bearish outlook.

2. Morning Star: In a continuous downtrend, a large bearish candlestick first appears, followed by a second small-bodied candlestick or doji that gaps down, and finally, a third candlestick that is bullish and closes significantly above the body of the first bearish candlestick, indicating strong buying power. This candlestick combination is the morning star, suggesting a bullish outlook.

3. Evening Star: The opposite of the morning star, in a continuous uptrend, a large bullish candlestick first appears, followed by a second small-bodied candlestick or doji that gaps up, and finally, a third candlestick that is bearish and closes significantly below the body of the first bullish candlestick, indicating strong selling power. This candlestick combination is the evening star, suggesting a bearish outlook.

Candlestick patterns are just one technical analysis tool and should not be used alone as the basis for investment decisions. Investors should also consider other factors such as market trends, trading volume, fundamentals, etc., for a comprehensive analysis. Pay attention to winning in the crypto world is not a dream! #Strategy增持比特币 $BTC