What is the Tri-Star Pattern? The Tri-Star is a rare three-candle reversal pattern consisting of three consecutive Doji candles, signalling extreme market indecision and a potential trend reversal
First Doji – Trend Exhaustion Begins The first Doji appears after a strong trend, indicating that momentum is starting to slow down
Second Doji – Market Uncertainty A second Doji forms, often with a gap from the first, reflecting increased indecision and lack of clear direction
Third Doji – Reversal Setup The third Doji signals that the market is highly uncertain, and a strong move in either direction may follow, often leading to a reversal
Confirmation & Volume Traders wait for a strong directional candle after the pattern. Increased volume during the breakout strengthens the reversal signal