Three White Soldiers

Three White Soldiers is a three-candlestick bullish reversal pattern that forms at the bottom of a downtrend, featuring three consecutive long-bodied green/white candles where each opens within the prior candle’s body and closes progressively higher near its high with small shadows, signaling strong buyer takeover and potential uptrend initiation on NSE/BSE charts.​

What is Three White Soldiers?

This pattern emerges after declines: three successive bullish candles appear, each starting near the previous close but pushing sharply higher, creating a “stair-step” advance reflecting mounting buying pressure. Long bodies (>average candle size) with minimal upper/lower shadows confirm bull control, opposite Three Black Crows (bearish).​

Spot it on daily charts post-corrections in Nifty midcaps or sectors like pharma during 2025 recoveries.​

Key Characteristics

Progressive structure validates.​

• Three long green/white bodies in downtrend.​
• Each opens inside prior body, closes > previous close/high.​
• Small shadows, rising volume ideal.​

Market Psychology

Bears weaken as buyers infiltrate: first candle tests lows weakly, but closes strong; subsequent candles build momentum, overwhelming supply and flipping sentiment bullish. Sustained closes near highs indicate institutional accumulation, priming rallies.​

In Downtrends (Reversal)

At bottoms near support, it signals capitulation; Nifty post-2022 lows showed 65-75% upside confirmation with volume. Peaks near RSI <30 or 200-EMA.​

Confirmation and Reliability

~70% reversal rate; confirm via fourth green above pattern high or gap up. Layer MACD bull cross, volume increase.​

Trading Strategies

Long setups stack confluence.​

• Enter above third high post-confirmation.​
• Filter: Downtrend end + oversold.​

Setup	Entry Trigger	Filters ​
Bullish Reversal	Close > pattern high	RSI <30, volume
Target	Prior swing high/1:2 R:R	Trail 20-EMA

Entry, Stop-Loss, Targets

Long on bullish close above pattern high, SL below first low (4-6% risk). Targets: pattern height up or resistance (15-30%); trail 20-EMA.​

Scale 50% at 1:1 R:R.​

Real-World Examples

Nifty pharma soldiers at 2025 lows rallied 18%+; midcaps reversed 25% post-pattern.​

Advantages

Robust visual bull shift.​

• Stepwise confirmation.​
• Strong R:R upside.​

Limitations and Pitfalls

Ranges ~30% fakes; bull traps sans volume. News overrides.​

Context + confirmation key.​​

Conclusion

Three White Soldiers heralds bullish reversals via ascending green trio at downtrend bases, powering longs on NSE charts. Filters unlock edges, nailing upturns profitably. Chart discipline masters reversals.