Candlestick patterns
Candlestick patterns are short shapes of one to three candles, such as an engulfing candle or a hammer. They carry weight when they form at a level that matters.
Free plan · Sign in with MT4 or MT5 · Windows 10 and 11
On a real chart
How Arka Terminal marks it
- 01Patterns marked only where they sit on a swing level: green below the candle, red above.
XAU/USD 30m candles, Oct 9, 2026 to Oct 13, 2026. Every drawing is Arka Terminal's AI Structure Analysis of these candles. Nothing is placed by hand.
The shape
The level makes the pattern
A hammer at support and an engulfing candle at resistance are marked. The same shape in the middle of a range is not.
How to read it
01
Location first
A pattern at support, resistance or a swing level matters. The same pattern mid-range rarely does.
02
Size counts
A pattern made of tiny candles shows little conviction.
03
Wait for the close
A hammer is not a hammer until the candle closes.
04
Confirmation helps
The next candle moving in the pattern's direction adds weight.
Common mistakes
Trading every pattern
Patterns form all the time. Most of them sit where nothing is decided.
Learning fifty names
A handful of patterns at good levels beats a long list anywhere.
Ignoring the trend
A bullish pattern against a strong downtrend fails more often.
In Arka Terminal
One switch in the structure panel
- Eight patterns
- Morning and evening star, bullish and bearish engulfing, hammer, shooting star, and full-body marubozu candles.
- Only on a level
- A pattern is marked only when its candle reaches a swing level. Small-bodied candles are skipped.
- One mark per candle
- Three-candle patterns win over two, and two over one. Marks are spaced apart so the chart stays readable.
- Free on every plan
- The analysis runs on your PC. It uses no AI credits.
- Ask about it
- Arka Copilot reads the switches you have on and answers with the same prices the chart shows.
Candlestick patterns, marked on your own chart
- Free on every plan
- Sign in with your MT4 or MT5 account
- Nine structure switches, no AI credits
Questions
Which candlestick patterns are most reliable?
No pattern is reliable on its own. Engulfing candles, hammers and stars at key levels are among the most watched.
What is a bullish engulfing pattern?
A rising candle whose body covers the whole body of the falling candle before it.
What is a hammer candle?
A candle with a small body near its high and a lower wick at least twice the body's length.
Can candlestick patterns be found automatically?
Yes. Arka Terminal marks eight patterns on its charts, only where they sit on a level. It is free on every plan.
The terminal built for a new generation of traders
Available for Windows 10 and Windows 11
