Bullish 3 stars in the South (Long Trades)
This is a 3 candlestick pattern. A buy is generated when the following conditions occur –
1)The market is characterized by a prevailing downtrend
2)3 consecutive bearish green candles appear
3)The last candle’s low is higher than the middle candles low
4)The middle candle’s low is higher than the first candles low
5)The last candle forms a Marubuzo (all though not really necessary)
The strategy relies on the fact that the stock/Index is making higher lows, hence the seller’s strength is expected to diminish.