8 High Probability Bulkowski Candlestick Patterns

• 03/23/2019 at 4:57 PM #94507
  Bard

  Updates to Violets’ “Trend Reversal and Continuation Patterns:” https://www.prorealcode.com/prorealtime-market-screeners/trend-reversal-continuation-patterns/

  For the Morning Star pattern I have striked out the trend filter to highlight the effect that the trend mode can have (in that it can result in patterns not being produced on chart).

  Bulkowski Performance Statistics for each of the 8 Patterns in the Indicator (and more) : https://www.dropbox.com/s/0gq5ypd6gwc3h7e/Bulkowski%20-%20PERFORMANCE%20RANKINGS%20-%20Encyclopedia-of-Candlestick-Charts.pdf?dl=0

  In the case of the very rare and highest probability pattern, the Bearish Three Line Strike Up, it actually produced a 683 times initial risk per/ tick return  in Canadian Pacific Railways (US) Ltd that I traded as an experiment of the patterns behaviour. “Beginners” luck, lol…

  8 High Probability Bulkowski Candlestick Patterns

  // 8 High Probability Bulkowski Candlestick Patterns // // The 8 most powerful classical Candlestick Patterns // Trend reversal and continuation patterns // Coded by Violet/Additions by Bard // 4-12-2017 / 23/03/2019 // // Based on the work of Thomas Bulkowski in his book: "Encyclopedia of Candlestick Charts", 2008 // Read a summary here: https://www.investopedia.com/articles/active-trading/092315/5-most-powerful-candlestick-patterns.asp // // This *market-wide screener* works along similar lines as this *fund-specific indicator* in the PRC library list: "Candlestick patterns recognition" //text color r = 255 g = 51 b = 51 // DrawText offset1 = 50 * pipsize offset2 = offset1 * 6 // Trend direction identification //(choose 0=No Trend check, 1=MACD, 2=SAR[default], 3=Directional Movement, 4=Moving Averagea crossing) TDS=3 //Trend Detection if TDS=0 then TrendUp=3 TrendDown=3 else if TDS=1 then TrendUp=(MACDline[12,26,9](close)>0 AND MACD[12,26,9](close)>0) TrendDown=(MACDline[12,26,9](close)<0 AND MACD[12,26,9](close)<0) else if TDS=2 then TrendUp=(SAR[0.02,0.02,0.2]<low) TrendDown=(SAR[0.02,0.02,0.2]>high) else if TDS=3 then TrendUp=(ADX[30]>25 AND DI[30](close)>0) //Default =[14] & >23 TrendDown=(ADX[30]>25 AND DI[30](close)<0) else if TDS=4 then TrendUp=(Average[3](close)>Average[12](close)) TrendDown=(Average[3](close)<Average[12](close)) endif endif endif endif endif // // Signal codes and pattern types //************************************************************************** // Name of pattern Type Direction Accuracy rate Bulkowski's Occurrence // // ------- ------------ ------------ ---------- // 1 = BearishThreeLineStrikeUp    Bullish  Reversal     84% Bull Mkt/77% Bear Mkt   truly rare // 2 = BullishThreeLineStrikeDown  Bearish  Reversal     65% Bull Mkt/83% Bear Mkt   truly rare // 3 = TwoBlackGappingDown Bearish Continuation 68% Bull Mkt/69% Bear Mkt common // 4 = ThreeBlackCrows Bearish Continuation 78% Bull Mkt/79% Bear Mkt abody // 5 = MorningStar Bullish Reversal 78% Bull Mkt/65% Bear Mkt very low // 6 = EveningStar Bearish Reversal 72% Bull Mkt/72% Bear Mkt very low // 7 = AbandonedBabyBull Bullish Reversal 70% Bull Mkt/55% Bear Mkt low // 8 = AbandonedBabyBear Bearish Reversal 69% Bull Mkt/52% Bear Mkt Bull Continuation low low//************************************************************************** // BearishThreeLineStrikeUp = 0 BullishThreeLineStrikeDown = 0 TwoBlackGappingDown = 0 ThreeBlackCrows = 0 MorningStar = 0 EveningStar = 0 AbandonedBabyBull = 0 AbandonedBabyBear = 0 signal = 0 //Best Probability in Bull Markets // 1 - (Three Bears then Up) Bearish Three Line Strike Up ************************************* // Bulkowski accuracy rate 84% in Bull Mkt, 77% in a Bear Mkt, frequency: very rare t1 = close[3] < open[3] // candle 4 = red candle t2 = close[2] < open[2] and low[2] < low[3] and open[2] < open[3] // candle 3 = red candle, lower low & open than previous candle t3 = close[1] < open[1] and low[1] < low[2] and open[1] < open[2] // candle 2 = red candle and lower low & open than previous candle t4 = open[0] < low[1] and close[0] > open[3] // candle 1 = green candle, opens lower than previous candle and closes above open of 4th candle. The candle engulfs the bodies of the three preceding black candles if TrendDown[3] AND t1 and t2 and t3 and t4 then BearishThreeLineStrikeUp = 1 endif if TrendUp[3] AND t1 and t2 and t3 and t4 then BearishThreeLineStrikeUp = 1 endif if TrendDown[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bearish Three Line Strike Up", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif if TrendUp[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bearish Three Line Strike Up", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 5 Morning Star ************************************************** // Bullish reversal of the downward price trend 78% of the (in a longer term up trend). 65% in a Bear Mkt. Size of price move better in downtrends if time limit of 10 days otherwise uptrends that are left to run are better. Ranked 6th for performance. //Bearish Pinbar bearishbody = ABS(open-close) bearishwick = ABS(high-close) //bearishnose = ABS(close-low) Body = abs(close - open) //definition of body RangeSize = average[50,0](range) //average of the range size of the last 50 candles LongCandle = Body > (RangeSize * 0.9) //LongCandle is true if the size exceeds a percentage of the average RangeSize LongCandle2 = Body > (RangeSize * 0.6) //LongCandle is true if the size exceeds a percentage of the average RangeSize e1 = close[2] < open[2] AND LongCandle // red candle e2 = open[1] < close[2] and close[1] < close[2] and low[1] < close[2] // candle entirely below predecessor’s body e3 = close[0] > open[0] and open[0] > open[1] and low[0] < high[1] and LongCandle2 // green candle with a gap e4 = range[1] < (range[2] / 2 ) // morning star’s range is small compared to preceding candle e5 = bearishwick/bearishbody < 30/100 // Small Bullish Pinbar/No exhaustion if e1 and e2 and e3 and e4 and e5 then MorningStar = 1 //TrendDown[3] AND endif if TrendUp[3] AND e1 and e2 and e3 and e4 and e5 then MorningStar = 1 endif if e1 and e2 and e3 and e4 then //TrendDown[3] AND DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif if TrendUp[3] AND e1 and e2 and e3 and e4 then DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 7 - Abandoned baby, Bullish Reversal aka Morning Star but with the flatline of a doji *********************** // Bulkowski accuracy rate 70%, 55% in a Bear Mkt, frequency: low a1 = high[1] < low[2] // gap a2 = high[1] < low[0] // gap a3 = abs(open[1]-close[1]) < ( range[1] / 2 ) // doji like if TrendDown[3] AND a1 and a2 and a3 then AbandonedBabyBull = 1 endif if TrendDown[3] AND a1 and a2 and a3 then DRAWTEXT("Abandoned Baby Bull", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif //Best Probability in Bear Markets // 2 - (Three Bulls then Down) Bullish Three Line Strike Down ************************************* // Bulkowski accuracy rate - bearish reversal 65% of the time in Bull and 83% in Bear, frequency: very rare t1 = close[3] > open[3] // candle 4 = green candle t2 = close[2] > open[2] and high[2] > high[3] and open[2] > open[3] // candle 3 = green candle, higher low & open than previous candle t3 = close[1] > open[1] and high[1] > high[2] and open[1] > open[2] // candle 2 = green candle and higher low & open than previous candle t4 = open[0] > low[1] and close[0] < open[3] // candle 1 = red candle, opens higher than previous candle and closes below open of 4th candle. The candle engulfs the bodies of the three preceding green candles if TrendUp[3] AND t1 and t2 and t3 and t4 then BullishThreeLineStrikeDown = 1 endif if TrendDown[3] AND t1 and t2 and t3 and t4 then BullishThreeLineStrikeDown = 1 endif if TrendUp[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bullish Three Line Strike Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif if TrendDown[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bullish Three Line Strike Down", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 3 - Bearish Two Black Gapping ************************* // Bulkowski accuracy rate 69% in Bear Mkt, 68% in Bull Mkt, frequency: common b1 = close[1] < open[1] // red candle b2 = close[0] < open[0] // followed by another red candle b3 = high[0] < low[1] // with a down gap in between if TrendUp[3] AND b1 and b2 and b3 then TwoBlackGappingDown = 1 endif if TrendDown[3] AND b1 and b2 and b3 then TwoBlackGappingDown = 1 endif if TrendUp[3] AND b1 and b2 and b3 then DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif if TrendDown[3] AND b1 and b2 and b3 then DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 4 - Three Black Crows ********************************* // Bulkowski accuracy rate 78% in Bull Mkt, 79% Bear Mkt frequency: very common c1 = close[2] < open[2] c2 = close[1] < open[1] and close[1] < low[2] c3 = close[0] < open[0] and close[0] < low[1] // Closing prices are less than 1/3 from lows c4 = abs(close[2] -low[2]) < range[2] / 3 c5 = abs(close[1] -low[1]) < range[1] / 3 c6 = abs(close[0] -low[0]) < range[0] / 3 if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendDown[3] AND endif if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendUp[3] AND endif if c1 and c2 and c3 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //TrendUp[3] AND endif if c1 and c2 and c3 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) // TrendDown[3] AND endif // 6 Evening Star ************************************************** // Bulkowski accuracy rate 72% in Bull and 72% Bear Mkt, frequency low e1 = close[2] > open[2] // green candle e2 = open[1] > close[2] and close[1] > close[2] and low[1] > close[2] // candle entirely above predecessor's body e3 = close[0] < open[0] and high[0] < low[1] // red candle with a gap e4 = range[1] < (range[2] / 2 ) // evening star's range is small compared to preceding candle if TrendDown[3] AND e1 and e2 and e3 and e4 then EveningStar = 1 endif if TrendUp[3] AND e1 and e2 and e3 and e4 then EveningStar = 1 endif if TrendUp[3] AND e1 and e2 and e3 then DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif if TrendDown[3] AND e1 and e2 and e3 then DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 8 - Abandoned baby, Bearish Reversal aka Evening Star but with the flatline of a doji. Trend doesn't last long *********************** // Bulkowski accuracy rate in Bull Mkt 69%, 52% in a Bear Mkt, frequency: low a1 = close[2] > open[2] // green candle a2 = open[1] > close[2] and close[1] > close[2] and low[1] > high[2] // candle entirely above predecessor's body a3 = close[0] < open[0] and low[1] > high[0] // red candle with a gap a4 = range[1] > (range[2] / 16 ) // range is small compared to preceding candle // Default (range[2] / 8 ) if TrendDown[3] AND a1 and a2 and a3 and a4 then AbandonedBabyBear = 1 endif if TrendDown[3] AND a1 and a2 and a3 then DRAWTEXT("Abandoned Baby Bear", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // Results ****************** if BearishThreeLineStrikeUp then signal = 1 elsif BullishThreeLineStrikeDown then signal = 2 elsif TwoBlackGappingDown then signal = 3 elsif ThreeBlackCrows then signal = 4 elsif MorningStar then signal = 5 elsif EveningStar then signal = 6 elsif AbandonedBabyBull then signal = 7 elsif AbandonedBabyBear then signal = 8 endif // // Pattern types //************************** //Type = Name of pattern //---- ------------------- //   1 = BearishThreeLineStrikeUp //   2 = BullishThreeLineStrikeDown //   3 = TwoBlackGappingDown // 4 = ThreeBlackCrows // 5 = MorningStar // 6 = EveningStar // 7 = AbandonedBabyBull // 8 = AbandonedBabyBear //************************** // Return signal > 0

  1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329

  // 8 High Probability Bulkowski Candlestick Patterns // // The 8 most powerful classical Candlestick Patterns // Trend reversal and continuation patterns   // Coded by Violet/Additions by Bard // 4-12-2017 / 23/03/2019 // // Based on the work of Thomas Bulkowski in his book: "Encyclopedia of Candlestick Charts", 2008 // Read a summary here: https://www.investopedia.com/articles/active-trading/092315/5-most-powerful-candlestick-patterns.asp // // This *market-wide screener* works along similar lines as this *fund-specific indicator* in the PRC library list: "Candlestick patterns recognition"   //text color r = 255 g = 51 b = 51   // DrawText offset1 = 50 * pipsize offset2 = offset1 * 6   // Trend direction identification //(choose 0=No Trend check, 1=MACD, 2=SAR[default], 3=Directional Movement, 4=Moving Averagea crossing) TDS=3   //Trend Detection if TDS=0 then TrendUp=3 TrendDown=3 else if TDS=1 then TrendUp=(MACDline[12,26,9](close)>0 AND MACD[12,26,9](close)>0) TrendDown=(MACDline[12,26,9](close)<0 AND MACD[12,26,9](close)<0) else if TDS=2 then TrendUp=(SAR[0.02,0.02,0.2]<low) TrendDown=(SAR[0.02,0.02,0.2]>high) else if TDS=3 then TrendUp=(ADX[30]>25 AND DI[30](close)>0) //Default =[14] & >23 TrendDown=(ADX[30]>25 AND DI[30](close)<0) else if TDS=4 then TrendUp=(Average[3](close)>Average[12](close)) TrendDown=(Average[3](close)<Average[12](close)) endif endif endif endif endif     // // Signal codes and pattern types //************************************************************************** // Name of pattern                 Type     Direction    Accuracy rate               Bulkowski's Occurrence // // -------                         ------------          ------------                ---------- // 1 = BearishThreeLineStrikeUp    Bullish  Reversal     84% Bull Mkt/77% Bear Mkt   truly rare // 2 = BullishThreeLineStrikeDown  Bearish  Reversal     65% Bull Mkt/83% Bear Mkt   truly rare // 3 = TwoBlackGappingDown         Bearish  Continuation 68% Bull Mkt/69% Bear Mkt   common // 4 = ThreeBlackCrows             Bearish  Continuation 78% Bull Mkt/79% Bear Mkt   abody // 5 = MorningStar                 Bullish  Reversal     78% Bull Mkt/65% Bear Mkt   very low // 6 = EveningStar                 Bearish  Reversal     72% Bull Mkt/72% Bear Mkt   very low // 7 = AbandonedBabyBull           Bullish  Reversal     70% Bull Mkt/55% Bear Mkt   low // 8 = AbandonedBabyBear           Bearish  Reversal     69% Bull Mkt/52% Bear Mkt Bull Continuation low low//************************************************************************** //   BearishThreeLineStrikeUp    = 0 BullishThreeLineStrikeDown  = 0 TwoBlackGappingDown         = 0 ThreeBlackCrows             = 0 MorningStar                 = 0 EveningStar                 = 0 AbandonedBabyBull           = 0 AbandonedBabyBear           = 0   signal                      = 0     //Best Probability in Bull Markets     // 1 - (Three Bears then Up) Bearish Three Line Strike Up ************************************* // Bulkowski accuracy rate 84% in Bull Mkt, 77% in a Bear Mkt, frequency: very rare t1 = close[3] < open[3]   // candle 4 = red candle t2 = close[2] < open[2] and low[2] < low[3] and open[2] < open[3] // candle 3 = red candle, lower low & open than previous candle t3 = close[1] < open[1] and low[1] < low[2] and open[1] < open[2] // candle 2 = red candle and lower low & open than previous candle t4 = open[0] < low[1]  and close[0] > open[3] // candle 1 = green candle, opens lower than previous candle and closes above open of 4th candle. The candle engulfs the bodies of the three preceding black candles   if TrendDown[3] AND t1 and t2 and t3 and t4 then BearishThreeLineStrikeUp = 1 endif   if TrendUp[3] AND t1 and t2 and t3 and t4 then BearishThreeLineStrikeUp = 1 endif   if TrendDown[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bearish Three Line Strike Up", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   if TrendUp[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bearish Three Line Strike Up", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 5 Morning Star ************************************************** // Bullish reversal of the downward price trend 78% of the (in a longer term up trend). 65% in a Bear Mkt. Size of price move better in downtrends if time limit of 10 days otherwise uptrends that are left to run are better. Ranked 6th for performance.   //Bearish Pinbar bearishbody = ABS(open-close) bearishwick = ABS(high-close) //bearishnose = ABS(close-low)   Body = abs(close - open) //definition of body RangeSize = average[50,0](range) //average of the range size of the last 50 candles LongCandle = Body > (RangeSize * 0.9) //LongCandle is true if the size exceeds a percentage of the average RangeSize LongCandle2 = Body > (RangeSize * 0.6) //LongCandle is true if the size exceeds a percentage of the average RangeSize e1 = close[2] < open[2] AND LongCandle // red candle e2 = open[1] < close[2] and close[1] < close[2] and low[1] < close[2] // candle entirely below predecessor’s body e3 = close[0] > open[0] and open[0] > open[1] and low[0] < high[1] and LongCandle2 // green candle with a gap e4 = range[1] < (range[2] / 2 ) // morning star’s range is small compared to preceding candle e5 = bearishwick/bearishbody < 30/100 // Small Bullish Pinbar/No exhaustion   if  e1 and e2 and e3 and e4 and e5 then MorningStar = 1 //TrendDown[3] AND endif   if TrendUp[3] AND e1 and e2 and e3 and e4 and e5 then MorningStar = 1 endif   if  e1 and e2 and e3 and e4 then //TrendDown[3] AND DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   if TrendUp[3] AND e1 and e2 and e3 and e4 then DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 7 - Abandoned baby, Bullish Reversal aka Morning Star but with the flatline of a doji *********************** // Bulkowski accuracy rate 70%, 55% in a Bear Mkt, frequency: low a1 = high[1] < low[2]  // gap a2 = high[1] < low[0]  // gap a3 = abs(open[1]-close[1]) < ( range[1] / 2 )  // doji like   if TrendDown[3] AND a1 and a2 and a3 then AbandonedBabyBull = 1 endif   if TrendDown[3] AND a1 and a2 and a3 then DRAWTEXT("Abandoned Baby Bull", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif           //Best Probability in Bear Markets     // 2 - (Three Bulls then Down) Bullish Three Line Strike Down ************************************* // Bulkowski accuracy rate - bearish reversal 65% of the time in Bull and 83% in Bear, frequency: very rare t1 = close[3] > open[3]  // candle 4 = green candle t2 = close[2] > open[2] and high[2] > high[3] and open[2] > open[3] // candle 3 = green candle, higher low & open than previous candle t3 = close[1] > open[1] and high[1] > high[2] and open[1] > open[2] // candle 2 = green candle and higher low & open than previous candle t4 = open[0] > low[1]  and close[0] < open[3] // candle 1 = red candle, opens higher than previous candle and closes below open of 4th candle. The candle engulfs the bodies of the three preceding green candles   if TrendUp[3] AND t1 and t2 and t3 and t4 then BullishThreeLineStrikeDown = 1 endif   if TrendDown[3] AND t1 and t2 and t3 and t4 then BullishThreeLineStrikeDown = 1 endif   if TrendUp[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bullish Three Line Strike Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   if TrendDown[3] AND t1 and t2 and t3 and t4 then DRAWTEXT("Bullish Three Line Strike Down", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 3 - Bearish Two Black Gapping ************************* // Bulkowski accuracy rate 69% in Bear Mkt, 68% in Bull Mkt, frequency: common b1 = close[1] < open[1]  // red candle b2 = close[0] < open[0]  // followed by another red candle b3 = high[0]  < low[1]   // with a down gap in between   if TrendUp[3] AND  b1 and b2 and b3 then TwoBlackGappingDown = 1 endif   if TrendDown[3] AND  b1 and b2 and b3 then TwoBlackGappingDown = 1 endif   if TrendUp[3] AND b1 and b2 and b3 then DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   if TrendDown[3] AND b1 and b2 and b3 then DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 4 - Three Black Crows ********************************* // Bulkowski accuracy rate 78% in Bull Mkt, 79% Bear Mkt frequency: very common c1 = close[2] < open[2] c2 = close[1] < open[1] and close[1] < low[2] c3 = close[0] < open[0] and close[0] < low[1] // Closing prices are less than 1/3 from lows c4 = abs(close[2] -low[2]) < range[2] / 3 c5 = abs(close[1] -low[1]) < range[1] / 3 c6 = abs(close[0] -low[0]) < range[0] / 3   if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendDown[3] AND endif   if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendUp[3] AND endif   if c1 and c2 and c3 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //TrendUp[3] AND endif   if c1 and c2 and c3 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) // TrendDown[3] AND endif     // 6 Evening Star ************************************************** // Bulkowski accuracy rate 72% in Bull and 72% Bear Mkt, frequency low e1 = close[2] > open[2]  // green candle e2 = open[1] > close[2] and close[1] > close[2] and low[1] > close[2] // candle entirely above predecessor's body e3 = close[0] < open[0] and high[0] < low[1]  // red candle with a gap e4 = range[1] < (range[2] / 2 )   // evening star's range is small compared to preceding candle   if TrendDown[3] AND e1 and e2 and e3 and e4 then EveningStar = 1 endif   if TrendUp[3] AND e1 and e2 and e3 and e4 then EveningStar = 1 endif   if TrendUp[3] AND e1 and e2 and e3 then DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   if TrendDown[3] AND e1 and e2 and e3 then DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 8 - Abandoned baby, Bearish Reversal aka Evening Star but with the flatline of a doji. Trend doesn't last long *********************** // Bulkowski accuracy rate in Bull Mkt 69%, 52% in a Bear Mkt, frequency: low a1 = close[2] > open[2]  // green candle a2 = open[1] > close[2] and close[1] > close[2] and low[1] > high[2] // candle entirely above predecessor's body a3 = close[0] < open[0] and low[1] > high[0]  // red candle with a gap a4 = range[1] > (range[2] / 16 )   // range is small compared to preceding candle // Default (range[2] / 8 )   if TrendDown[3] AND a1 and a2 and a3 and a4 then AbandonedBabyBear = 1 endif   if TrendDown[3] AND a1 and a2 and a3 then DRAWTEXT("Abandoned Baby Bear", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // Results ****************** if BearishThreeLineStrikeUp then signal = 1 elsif BullishThreeLineStrikeDown then signal = 2 elsif TwoBlackGappingDown then signal = 3 elsif ThreeBlackCrows then signal = 4 elsif MorningStar then signal = 5 elsif EveningStar then signal = 6 elsif AbandonedBabyBull then signal = 7 elsif AbandonedBabyBear then signal = 8 endif     // // Pattern types //************************** //Type = Name of pattern //----   ------------------- //   1 = BearishThreeLineStrikeUp //   2 = BullishThreeLineStrikeDown //   3 = TwoBlackGappingDown //   4 = ThreeBlackCrows //   5 = MorningStar //   6 = EveningStar //   7 = AbandonedBabyBull //   8 = AbandonedBabyBear //************************** //   Return signal > 0

   

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
  03/23/2019 at 5:41 PM #94509
  swapping

  Good job Bard 😉

  1 user thanked author for this post.

  Bard

  

  swapping

  Participant

  Topics: 10

  Replies: 97

  Been thanked: 38 times
  03/23/2019 at 6:15 PM #94510
  Bard

  More Candlestick Detection here using Top Movers:

  https://www.prorealcode.com/blog/video-tutorials/candlestick-pattern-detection-market-scanner-prorealtime/

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
  03/23/2019 at 10:29 PM #94519
  Bard

  A few observations since posting earlier:

  A few small errors have been fixed like making sure all the a1, a2’s have been utilised in the Draw Text code.

  I’m not sure the effect of have two sets of a1= etc and a2= etc, and t1= t2= etc overlapping conditions for two different patterns (Abandoned Baby’s and Three Line Strikes) both patterns appear on chart (and when applied as a separate indicator below the price chart) but I have reposted the amended code below with different conditional letters.

  I think it’s better to strike out // the Trend Rules to produce more patterns and you can use your own judgement as to the direction of trend. I’ve left the Trend code in with strikes.

  Note: 7. Abandoned Baby had two x TrendDown’s.

  The Morning Star rules can be relaxed as I see in my code I included a more extreme LongCandle = Body > (RangeSize * 0.9) when I was testing it.
  0.7 is fine.

  Another addition has been added (that I spotted from my Dropbox pdf link) : Three White Soldiers. 

  It has strong directional  probabilities although performance isn’t always strong post pattern.. better for Scalpers.
  (Note: In the Top Movers Screener there are Candlestick pattern and you can set the “Criteria” from “Completed” to “Current.” I can’t vouch for their accuracy in construction/coding or Bulkowski’s performance statistics).

  Bulkowski’s Candlestick Descriptions and Performance Statistics can be found on his site:

  http://thepatternsite.com

  9 High Probability Bulkowski Candlestick Patterns

  // 9 High Probability Bulkowski Candlestick Patterns // // The 9 most powerful classical Candlestick Patterns // Trend reversal and continuation patterns // Coded by Violet/Additions by Bard // 4-12-2017 /23/03/2019 // // Based on the work of Thomas Bulkowski in his book: "Encyclopedia of Candlestick Charts", 2008 // Read a summary here: https://www.investopedia.com/articles/active-trading/092315/5-most-powerful-candlestick-patterns.asp // // This *market-wide screener* works along similar lines as this *fund-specific indicator* in the PRC library list: "Candlestick patterns recognition" //text color r = 255 g = 51 b = 51 // DrawText offset1 = 50 * pipsize offset2 = offset1 * 6 // Trend direction identification //(choose 0=No Trend check, 1=MACD, 2=SAR[default], 3=Directional Movement, 4=Moving Averagea crossing) //TDS=3 //Trend Detection //if TDS=0 then //TrendUp=3 //TrendDown=3 //else //if TDS=1 then //TrendUp=(MACDline[12,26,9](close)>0 AND MACD[12,26,9](close)>0) //TrendDown=(MACDline[12,26,9](close)<0 AND MACD[12,26,9](close)<0) //else //if TDS=2 then //TrendUp=(SAR[0.02,0.02,0.2]<low) //TrendDown=(SAR[0.02,0.02,0.2]>high) //else //if TDS=3 then //TrendUp=(ADX[30]>25 AND DI[30](close)>0) //Default =[14] & >23 //TrendDown=(ADX[30]>25 AND DI[30](close)<0) //else //if TDS=4 then //TrendUp=(Average[3](close)>Average[12](close)) //TrendDown=(Average[3](close)<Average[12](close)) //endif //endif //endif //endif //endif // // Signal codes and pattern types //************************************************************************** // Name of pattern Type Direction Accuracy rate Bulkowski's Occurrence // // ------- ------------ ------------ ---------- // 1 = BearishThreeLineStrikeUp    Bullish  Reversal     84% Bull Mkt/77% Bear Mkt   truly rare // 2 = BullishThreeLineStrikeDown  Bearish  Reversal     65% Bull Mkt/83% Bear Mkt   truly rare // 3 = TwoBlackGappingDown Bearish Continuation 68% Bull Mkt/69% Bear Mkt common // 4 = ThreeBlackCrows Bearish Continuation 78% Bull Mkt/79% Bear Mkt abody // 5 = MorningStar Bullish Reversal 78% Bull Mkt/65% Bear Mkt very low // 6 = EveningStar Bearish Reversal 72% Bull Mkt/72% Bear Mkt very low // 7 = AbandonedBabyBull Bullish Reversal 70% Bull Mkt/55% Bear Mkt low // 8 = AbandonedBabyBear Bearish Reversal 69% Bull Mkt/52% Bear Mkt Bull Continuation low low // 9 = Three White Soldiers Bullish Reversal 82% Bull Mkt/84% Bear Mkt low //************************************************************************** // BearishThreeLineStrikeUp = 0 //(s) BullishThreeLineStrikeDown = 0 //(t) TwoBlackGappingDown = 0 //(b) ThreeBlackCrows = 0 //(c) MorningStar = 0 //(m) EveningStar = 0 //(e) AbandonedBabyBull = 0 //(d) AbandonedBabyBear = 0 //(a) ThreeWhiteSoldiers = 0 //(w) signal = 0 //Best Probability in Bull Markets // 1 - (Three Bears then Up) Bearish Three Line Strike Up ************************************* // Bulkowski accuracy rate 84% in Bull Mkt, 77% in a Bear Mkt, frequency: very rare s1 = close[3] < open[3] // candle 4 = red candle s2 = close[2] < open[2] and low[2] < low[3] and open[2] < open[3] // candle 3 = red candle, lower low & open than previous candle s3 = close[1] < open[1] and low[1] < low[2] and open[1] < open[2] // candle 2 = red candle and lower low & open than previous candle s4 = open[0] < low[1] and close[0] > open[3] // candle 1 = green candle, opens lower than previous candle and closes above open of 4th candle. The candle engulfs the bodies of the three preceding black candles //if s1 and s2 and s3 and s4 then //TrendDown[3] AND ////BearishThreeLineStrikeUp = 1 //endif if s1 and s2 and s3 and s4 then //TrendUp[3] AND BearishThreeLineStrikeUp = 1 endif if s1 and s2 and s3 and s4 then //TrendDown[3] AND DRAWTEXT("Bearish Three Line Strike Up", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif //if s1 and s2 and s3 and s4 then //TrendUp[3] AND //DRAWTEXT("Bearish Three Line Strike Up", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif // 5 Morning Star ************************************************** // Bullish reversal of the downward price trend 78% of the (in a longer term up trend). 65% in a Bear Mkt. Size of price move better in downtrends if time limit of 10 days otherwise uptrends that are left to run are better. Ranked 6th for performance. //Bearish Pinbar bearishbody = ABS(open-close) bearishwick = ABS(high-close) //bearishnose = ABS(close-low) Body = abs(close - open) //definition of body RangeSize = average[50,0](range) //average of the range size of the last 50 candles LongCandle = Body > (RangeSize * 0.9) //LongCandle is true if the size exceeds a percentage of the average RangeSize LongCandle2 = Body > (RangeSize * 0.6) //LongCandle is true if the size exceeds a percentage of the average RangeSize m1 = close[2] < open[2] AND LongCandle // red candle m2 = open[1] < close[2] and close[1] < close[2] and low[1] < close[2] // candle entirely below predecessor’s body m3 = close[0] > open[0] and open[0] > open[1] and low[0] < high[1] and LongCandle2 // green candle with a gap m4 = range[1] < (range[2] / 2 ) // morning star’s range is small compared to preceding candle m5 = bearishwick/bearishbody < 30/100 // Small Bullish Pinbar/No exhaustion if m1 and m2 and m3 and m4 and m5 then //TrendDown[3] AND MorningStar = 1 endif //if m1 and m2 and m3 and m4 and m5 then //TrendUp[3] AND //MorningStar = 1 //endif if m1 and m2 and m3 and m4 and m5 then //TrendDown[3] AND DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif //if m1 and m2 and m3 and m4 and m5 then //TrendUp[3] AND //DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif // 7 - Abandoned baby, Bullish Reversal aka Morning Star but without the flatline of a doji *********************** // Bulkowski accuracy rate 70%, 55% in a Bear Mkt, frequency: low d1 = close[2] < open[2] // red candle d2 = open[1] < close[2] and close[1] < close[2] and high[1] < low[2] // candle entirely below predecessor's body d3 = close[0] > open[0] and low[0] > high[1] // green candle with a gap d4 = range[1] > (range[2] / 16 ) // morning star's range is small compared to preceding candle // Default (range[2] / 8 ) if d1 and d2 and d3 and d4 then //TrendDown[3] AND AbandonedBabyBull = 1 endif if d1 and d2 and d3 and d4 then //TrendDown[3] AND DRAWTEXT("Abandoned Baby Bull", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif //Best Probability in Bear Markets // 2 - (Three Bulls then Down) Bullish Three Line Strike Down ************************************* // Bulkowski accuracy rate - bearish reversal 65% of the time in Bull and 83% in Bear, frequency: very rare t1 = close[3] > open[3] // candle 4 = green candle t2 = close[2] > open[2] and high[2] > high[3] and open[2] > open[3] // candle 3 = green candle, higher low & open than previous candle t3 = close[1] > open[1] and high[1] > high[2] and open[1] > open[2] // candle 2 = green candle and higher low & open than previous candle t4 = open[0] > low[1] and close[0] < open[3] // candle 1 = red candle, opens higher than previous candle and closes below open of 4th candle. The candle engulfs the bodies of the three preceding green candles //if t1 and t2 and t3 and t4 then //TrendUp[3] AND //BullishThreeLineStrikeDown = 1 //endif if t1 and t2 and t3 and t4 then //TrendDown[3] AND BullishThreeLineStrikeDown = 1 endif if t1 and t2 and t3 and t4 then //TrendUp[3] AND DRAWTEXT("Bullish Three Line Strike Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif //if t1 and t2 and t3 and t4 then //TrendDown[3] AND ////DRAWTEXT("Bullish Three Line Strike Down", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif // 3 - Bearish Two Black Gapping ************************* // Bulkowski accuracy rate 69% in Bear Mkt, 68% in Bull Mkt, frequency: common b1 = close[1] < open[1] // red candle b2 = close[0] < open[0] // followed by another red candle b3 = high[0] < low[1] // with a down gap in between //if b1 and b2 and b3 then //TrendUp[3] AND //TwoBlackGappingDown = 1 //endif if b1 and b2 and b3 then //TrendDown[3] AND TwoBlackGappingDown = 1 endif //if b1 and b2 and b3 then //TrendUp[3] AND //DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif if b1 and b2 and b3 then //TrendDown[3] AND DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 4 - Three Black Crows ********************************* // Bulkowski accuracy rate 78% in Bull Mkt, 79% Bear Mkt frequency: very common c1 = close[2] < open[2] c2 = close[1] < open[1] and close[1] < low[2] c3 = close[0] < open[0] and close[0] < low[1] // Closing prices are less than 1/3 from lows c4 = abs(close[2] -low[2]) < range[2] / 3 c5 = abs(close[1] -low[1]) < range[1] / 3 c6 = abs(close[0] -low[0]) < range[0] / 3 if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendDown[3] AND endif //if c1 and c2 and c3 and c4 and c5 and c6 then //ThreeBlackCrows = 1 //TrendUp[3] AND //endif //if c1 and c2 and c3 and c4 and c5 and c6 then //DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //TrendUp[3] AND //endif if c1 and c2 and c3 and c4 and c5 and c6 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) // TrendDown[3] AND endif // 6 Evening Star ************************************************** // Bulkowski accuracy rate 72% in Bull and 72% Bear Mkt, frequency low e1 = close[2] > open[2] // green candle e2 = open[1] > close[2] and close[1] > close[2] and low[1] > close[2] // candle entirely above predecessor's body e3 = close[0] < open[0] and high[0] < low[1] // red candle with a gap e4 = range[1] < (range[2] / 2 ) // evening star's range is small compared to preceding candle if e1 and e2 and e3 and e4 then //TrendDown[3] AND EveningStar = 1 endif //if e1 and e2 and e3 and e4 then //TrendUp[3] AND //endif //if e1 and e2 and e3 and e4 then //TrendUp[3] AND //DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif if e1 and e2 and e3 and e4 then //TrendDown[3] AND DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // 8 - Abandoned baby, Bearish Reversal aka Evening Star but with the flatline of a doji. Trend doesn't last long *********************** // Bulkowski accuracy rate in Bull Mkt 69%, 52% in a Bear Mkt, frequency: low a1 = close[2] > open[2] // green candle a2 = open[1] > close[2] and close[1] > close[2] and low[1] > high[2] // candle entirely above predecessor's body a3 = close[0] < open[0] and low[1] > high[0] // red candle with a gap a4 = range[1] > (range[2] / 16 ) // range is small compared to preceding candle // Default (range[2] / 8 ) if a1 and a2 and a3 and a4 then //TrendDown[3] AND AbandonedBabyBear = 1 endif //if a1 and a2 and a3 and a4 then //TrendUp[3] AND //DRAWTEXT("Abandoned Baby Bear", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif // 9 - Three White Soldiers, Bullish Reversal. Price does not trend all that well after the breakout. Performance after formation not strong *********************** // Bulkowski accuracy rate in Bull Mkt 82%, 84% in a Bear Mkt, frequency: low body=close-open w1 = body[2]>0 and body[1]>0 and body>0 w2 = high[1]>high[2] and high>high[1] w3 = close[1]>close[2] and close>close[1] w4 = open[1]>open[2] and open[1]<close[2] and open>open[1] and open<close[1] if w1 and w2 and w3 and w4 then //TrendDown[3] AND ThreeWhiteSoldiers = 1 endif if w1 and w2 and w3 and w4 then DRAWTEXT("Three White Soldiers", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif // Results ****************** if BearishThreeLineStrikeUp then signal = 1 elsif BullishThreeLineStrikeDown then signal = 2 elsif TwoBlackGappingDown then signal = 3 elsif ThreeBlackCrows then signal = 4 elsif MorningStar then signal = 5 elsif EveningStar then signal = 6 elsif AbandonedBabyBull then signal = 7 elsif AbandonedBabyBear then signal = 8 elsif ThreeWhiteSoldiers then signal = 9 endif // // Pattern types //************************** //Type = Name of pattern //---- ------------------- //   1 = BearishThreeLineStrikeUp //   2 = BullishThreeLineStrikeDown //   3 = TwoBlackGappingDown // 4 = ThreeBlackCrows // 5 = MorningStar // 6 = EveningStar // 7 = AbandonedBabyBull // 8 = AbandonedBabyBear // 9 = ThreeWhiteSoldiers //************************** // Return signal > 0

  1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 296 297 298 299 300 301 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329 330 331 332 333 334 335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355 356

  // 9 High Probability Bulkowski Candlestick Patterns // // The 9 most powerful classical Candlestick Patterns // Trend reversal and continuation patterns   // Coded by Violet/Additions by Bard // 4-12-2017 /23/03/2019 // // Based on the work of Thomas Bulkowski in his book: "Encyclopedia of Candlestick Charts", 2008 // Read a summary here: https://www.investopedia.com/articles/active-trading/092315/5-most-powerful-candlestick-patterns.asp // // This *market-wide screener* works along similar lines as this *fund-specific indicator* in the PRC library list: "Candlestick patterns recognition"   //text color r = 255 g = 51 b = 51   // DrawText offset1 = 50 * pipsize offset2 = offset1 * 6   // Trend direction identification //(choose 0=No Trend check, 1=MACD, 2=SAR[default], 3=Directional Movement, 4=Moving Averagea crossing) //TDS=3   //Trend Detection //if TDS=0 then //TrendUp=3 //TrendDown=3 //else //if TDS=1 then //TrendUp=(MACDline[12,26,9](close)>0 AND MACD[12,26,9](close)>0) //TrendDown=(MACDline[12,26,9](close)<0 AND MACD[12,26,9](close)<0) //else //if TDS=2 then //TrendUp=(SAR[0.02,0.02,0.2]<low) //TrendDown=(SAR[0.02,0.02,0.2]>high) //else //if TDS=3 then //TrendUp=(ADX[30]>25 AND DI[30](close)>0) //Default =[14] & >23 //TrendDown=(ADX[30]>25 AND DI[30](close)<0) //else //if TDS=4 then //TrendUp=(Average[3](close)>Average[12](close)) //TrendDown=(Average[3](close)<Average[12](close)) //endif //endif //endif //endif //endif     // // Signal codes and pattern types //************************************************************************** // Name of pattern                 Type     Direction    Accuracy rate               Bulkowski's Occurrence // // -------                         ------------          ------------                ---------- // 1 = BearishThreeLineStrikeUp    Bullish  Reversal     84% Bull Mkt/77% Bear Mkt   truly rare // 2 = BullishThreeLineStrikeDown  Bearish  Reversal     65% Bull Mkt/83% Bear Mkt   truly rare // 3 = TwoBlackGappingDown         Bearish  Continuation 68% Bull Mkt/69% Bear Mkt   common // 4 = ThreeBlackCrows             Bearish  Continuation 78% Bull Mkt/79% Bear Mkt   abody // 5 = MorningStar                 Bullish  Reversal     78% Bull Mkt/65% Bear Mkt   very low // 6 = EveningStar                 Bearish  Reversal     72% Bull Mkt/72% Bear Mkt   very low // 7 = AbandonedBabyBull           Bullish  Reversal     70% Bull Mkt/55% Bear Mkt   low // 8 = AbandonedBabyBear           Bearish  Reversal     69% Bull Mkt/52% Bear Mkt Bull Continuation low low // 9 = Three White Soldiers        Bullish  Reversal     82% Bull Mkt/84% Bear Mkt   low //**************************************************************************   //   BearishThreeLineStrikeUp    = 0 //(s) BullishThreeLineStrikeDown  = 0 //(t) TwoBlackGappingDown         = 0 //(b) ThreeBlackCrows             = 0 //(c) MorningStar                 = 0 //(m) EveningStar                 = 0 //(e) AbandonedBabyBull           = 0 //(d) AbandonedBabyBear           = 0 //(a) ThreeWhiteSoldiers          = 0 //(w)   signal                      = 0       //Best Probability in Bull Markets     // 1 - (Three Bears then Up) Bearish Three Line Strike Up ************************************* // Bulkowski accuracy rate 84% in Bull Mkt, 77% in a Bear Mkt, frequency: very rare s1 = close[3] < open[3]   // candle 4 = red candle s2 = close[2] < open[2] and low[2] < low[3] and open[2] < open[3] // candle 3 = red candle, lower low & open than previous candle s3 = close[1] < open[1] and low[1] < low[2] and open[1] < open[2] // candle 2 = red candle and lower low & open than previous candle s4 = open[0] < low[1]  and close[0] > open[3] // candle 1 = green candle, opens lower than previous candle and closes above open of 4th candle. The candle engulfs the bodies of the three preceding black candles   //if  s1 and s2 and s3 and s4 then //TrendDown[3] AND ////BearishThreeLineStrikeUp = 1 //endif   if s1 and s2 and s3 and s4 then //TrendUp[3] AND BearishThreeLineStrikeUp = 1 endif   if s1 and s2 and s3 and s4 then //TrendDown[3] AND DRAWTEXT("Bearish Three Line Strike Up", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   //if  s1 and s2 and s3 and s4 then //TrendUp[3] AND //DRAWTEXT("Bearish Three Line Strike Up", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif     // 5 Morning Star ************************************************** // Bullish reversal of the downward price trend 78% of the (in a longer term up trend). 65% in a Bear Mkt. Size of price move better in downtrends if time limit of 10 days otherwise uptrends that are left to run are better. Ranked 6th for performance.   //Bearish Pinbar bearishbody = ABS(open-close) bearishwick = ABS(high-close) //bearishnose = ABS(close-low)   Body = abs(close - open) //definition of body RangeSize = average[50,0](range) //average of the range size of the last 50 candles LongCandle = Body > (RangeSize * 0.9) //LongCandle is true if the size exceeds a percentage of the average RangeSize LongCandle2 = Body > (RangeSize * 0.6) //LongCandle is true if the size exceeds a percentage of the average RangeSize m1 = close[2] < open[2] AND LongCandle // red candle m2 = open[1] < close[2] and close[1] < close[2] and low[1] < close[2] // candle entirely below predecessor’s body m3 = close[0] > open[0] and open[0] > open[1] and low[0] < high[1] and LongCandle2 // green candle with a gap m4 = range[1] < (range[2] / 2 ) // morning star’s range is small compared to preceding candle m5 = bearishwick/bearishbody < 30/100 // Small Bullish Pinbar/No exhaustion   if  m1 and m2 and m3 and m4 and m5 then //TrendDown[3] AND MorningStar = 1 endif   //if  m1 and m2 and m3 and m4 and m5 then //TrendUp[3] AND //MorningStar = 1 //endif   if  m1 and m2 and m3 and m4 and m5 then //TrendDown[3] AND DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   //if  m1 and m2 and m3 and m4 and m5 then //TrendUp[3] AND //DRAWTEXT("Morning Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif     // 7 - Abandoned baby, Bullish Reversal aka Morning Star but without the flatline of a doji *********************** // Bulkowski accuracy rate 70%, 55% in a Bear Mkt, frequency: low   d1 = close[2] < open[2]  // red candle d2 = open[1]  < close[2] and close[1] < close[2] and high[1] < low[2] // candle entirely below predecessor's body d3 = close[0] > open[0] and low[0] > high[1]  // green candle with a gap d4 = range[1] > (range[2] / 16 )   // morning star's range is small compared to preceding candle // Default (range[2] / 8 )   if  d1 and d2 and d3 and d4 then //TrendDown[3] AND AbandonedBabyBull = 1 endif   if  d1 and d2 and d3 and d4 then //TrendDown[3] AND DRAWTEXT("Abandoned Baby Bull", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif           //Best Probability in Bear Markets     // 2 - (Three Bulls then Down) Bullish Three Line Strike Down ************************************* // Bulkowski accuracy rate - bearish reversal 65% of the time in Bull and 83% in Bear, frequency: very rare t1 = close[3] > open[3]  // candle 4 = green candle t2 = close[2] > open[2] and high[2] > high[3] and open[2] > open[3] // candle 3 = green candle, higher low & open than previous candle t3 = close[1] > open[1] and high[1] > high[2] and open[1] > open[2] // candle 2 = green candle and higher low & open than previous candle t4 = open[0] > low[1]  and close[0] < open[3] // candle 1 = red candle, opens higher than previous candle and closes below open of 4th candle. The candle engulfs the bodies of the three preceding green candles   //if  t1 and t2 and t3 and t4 then //TrendUp[3] AND //BullishThreeLineStrikeDown = 1 //endif   if  t1 and t2 and t3 and t4 then //TrendDown[3] AND BullishThreeLineStrikeDown = 1 endif   if t1 and t2 and t3 and t4 then //TrendUp[3] AND DRAWTEXT("Bullish Three Line Strike Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif   //if  t1 and t2 and t3 and t4 then //TrendDown[3] AND ////DRAWTEXT("Bullish Three Line Strike Down", barindex, high, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif     // 3 - Bearish Two Black Gapping ************************* // Bulkowski accuracy rate 69% in Bear Mkt, 68% in Bull Mkt, frequency: common b1 = close[1] < open[1]  // red candle b2 = close[0] < open[0]  // followed by another red candle b3 = high[0]  < low[1]   // with a down gap in between   //if   b1 and b2 and b3 then //TrendUp[3] AND //TwoBlackGappingDown = 1 //endif   if  b1 and b2 and b3 then //TrendDown[3] AND TwoBlackGappingDown = 1 endif   //if  b1 and b2 and b3 then //TrendUp[3] AND //DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif   if  b1 and b2 and b3 then //TrendDown[3] AND DRAWTEXT("Two Black Gapping Down", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 4 - Three Black Crows ********************************* // Bulkowski accuracy rate 78% in Bull Mkt, 79% Bear Mkt frequency: very common c1 = close[2] < open[2] c2 = close[1] < open[1] and close[1] < low[2] c3 = close[0] < open[0] and close[0] < low[1] // Closing prices are less than 1/3 from lows c4 = abs(close[2] -low[2]) < range[2] / 3 c5 = abs(close[1] -low[1]) < range[1] / 3 c6 = abs(close[0] -low[0]) < range[0] / 3   if c1 and c2 and c3 and c4 and c5 and c6 then ThreeBlackCrows = 1 //TrendDown[3] AND endif   //if c1 and c2 and c3 and c4 and c5 and c6 then //ThreeBlackCrows = 1 //TrendUp[3] AND //endif   //if c1 and c2 and c3 and c4 and c5 and c6 then //DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //TrendUp[3] AND //endif   if c1 and c2 and c3 and c4 and c5 and c6 then DRAWTEXT("Three Black Crows", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) // TrendDown[3] AND endif     // 6 Evening Star ************************************************** // Bulkowski accuracy rate 72% in Bull and 72% Bear Mkt, frequency low e1 = close[2] > open[2]  // green candle e2 = open[1] > close[2] and close[1] > close[2] and low[1] > close[2] // candle entirely above predecessor's body e3 = close[0] < open[0] and high[0] < low[1]  // red candle with a gap e4 = range[1] < (range[2] / 2 )   // evening star's range is small compared to preceding candle   if  e1 and e2 and e3 and e4 then //TrendDown[3] AND EveningStar = 1 endif   //if  e1 and e2 and e3 and e4 then //TrendUp[3] AND //endif   //if  e1 and e2 and e3 and e4 then //TrendUp[3] AND //DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif   if  e1 and e2 and e3 and e4 then //TrendDown[3] AND DRAWTEXT("Evening Star", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // 8 - Abandoned baby, Bearish Reversal aka Evening Star but with the flatline of a doji. Trend doesn't last long *********************** // Bulkowski accuracy rate in Bull Mkt 69%, 52% in a Bear Mkt, frequency: low a1 = close[2] > open[2]  // green candle a2 = open[1] > close[2] and close[1] > close[2] and low[1] > high[2] // candle entirely above predecessor's body a3 = close[0] < open[0] and low[1] > high[0]  // red candle with a gap a4 = range[1] > (range[2] / 16 )   // range is small compared to preceding candle // Default (range[2] / 8 )   if  a1 and a2 and a3 and a4 then //TrendDown[3] AND AbandonedBabyBear = 1 endif   //if a1 and a2 and a3 and a4 then //TrendUp[3] AND //DRAWTEXT("Abandoned Baby Bear", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) //DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) //endif     // 9 - Three White Soldiers, Bullish Reversal. Price does not trend all that well after the breakout. Performance after formation not strong *********************** // Bulkowski accuracy rate in Bull Mkt 82%, 84% in a Bear Mkt, frequency: low body=close-open w1 = body[2]>0 and body[1]>0 and body>0 w2 = high[1]>high[2] and high>high[1] w3 = close[1]>close[2] and close>close[1] w4 = open[1]>open[2] and open[1]<close[2] and open>open[1] and open<close[1]   if  w1 and w2 and w3 and w4 then //TrendDown[3] AND ThreeWhiteSoldiers = 1 endif   if  w1 and w2 and w3 and w4 then DRAWTEXT("Three White Soldiers", barindex,low-offset2, Dialog, Standard, 20) COLOURED(R,G,B) DRAWARROWUP(barindex,low-offset1) COLOURED(0,155,10) endif     // Results ****************** if BearishThreeLineStrikeUp then signal = 1 elsif BullishThreeLineStrikeDown then signal = 2 elsif TwoBlackGappingDown then signal = 3 elsif ThreeBlackCrows then signal = 4 elsif MorningStar then signal = 5 elsif EveningStar then signal = 6 elsif AbandonedBabyBull then signal = 7 elsif AbandonedBabyBear then signal = 8 elsif ThreeWhiteSoldiers then signal = 9 endif     // // Pattern types //************************** //Type = Name of pattern //----   ------------------- //   1 = BearishThreeLineStrikeUp //   2 = BullishThreeLineStrikeDown //   3 = TwoBlackGappingDown //   4 = ThreeBlackCrows //   5 = MorningStar //   6 = EveningStar //   7 = AbandonedBabyBull //   8 = AbandonedBabyBear //   9 = ThreeWhiteSoldiers //************************** //   Return signal > 0

   

   

  2 users thanked author for this post.

  mr blue, robertogozzi

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
  03/24/2019 at 10:14 AM #94543
  GraHal

  Wow you’ve had a buy weekend Bard …. thank you for sharing your good work!

  Cheers
  GraHal

  1 user thanked author for this post.

  Bard

  

  GraHal

  Participant

  Topics: 204

  Replies: 8419

  Been thanked: 2044 times
  03/24/2019 at 10:07 PM #94569
  Bard

  Cheers @GraHal, it needed to be done!
  I’m still referring to those Dropbox pdf stats above and Bulkowski’s book so I may add some more Higher Probability Patterns later like the Bearish Engulfing (bottom of list) which is a Bearish Reversal 79% of the time in a Bull Market and 82% in a Bear.

  1 user thanked author for this post.

  GraHal

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
  03/26/2019 at 9:33 PM #94747
  gabri

  Hi Bard,

   

  really good job on this code. I am not a big fan of Bulkowsky to be honest (I am not really sure about he checks facts) but definitely your code is awesome!!

   

  G

  1 user thanked author for this post.

  Bard

  

  gabri

  Participant

  Topics: 6

  Replies: 116

  Been thanked: 39 times
  03/28/2019 at 7:58 PM #94923
  gabri

  Hey, I forgot to add this. Bulkowski also says that “Most of the time, candles that showed the highest post breakout move began their life within the lowest third of the yearly price range. Here are the results.”. In his website he says that 84% of the reverse candles starting in the lowest third of the yearly price range are successful….food for thoughts.

  

  gabri

  Participant

  Topics: 6

  Replies: 116

  Been thanked: 39 times
  03/29/2019 at 3:54 PM #95024
  Bard

  Cheers, appreciated @Gabri, I was thinking along the same lines and making sure I had defined a Bull and Bear Market as per Bulkowski. I also added some moving averages codes and started on a “simple” indicator… lol.. but got stuck with the ALMA moving average programming (not a programmer) but that’s all fixed now thanks to help on this forum from Nicolas and Roberto:

  https://www.prorealcode.com/topic/help-creating-bull-market-indicator-with-a-custom-indicator/#post-94935

  Now another indicator to spot prices in a 1/3 of their yearly highs and lows would be handy too!

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
  03/29/2019 at 6:00 PM #95052
  Vonasi

  Bard wrote:

  Now another indicator to spot prices in a 1/3 of their yearly highs and lows would be handy too!

  Try this:

  startdate = opendate - 10000 hh = 0 ll = 100000000000 if opendate[barindex] < startdate and not done then a = barindex done = 1 endif if done then hh = highest[a](high) ll = lowest[a](low) lowlevel = ((hh - ll) / 3) + ll highlevel = hh - ((hh - ll) / 3) flag = 0 if close < lowlevel then flag = -1 r = 128 g = 0 endif if close > highlevel then flag = 1 r = 0 g = 128 endif endif return flag coloured(r,g,0)style(histogram,2) as "Year Range Thirds"

  1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32

  startdate = opendate - 10000   hh = 0 ll = 100000000000   if opendate[barindex] < startdate and not done then a = barindex done = 1 endif   if done then hh = highest[a](high) ll = lowest[a](low)   lowlevel = ((hh - ll) / 3) + ll highlevel = hh - ((hh - ll) / 3)   flag = 0 if close < lowlevel then flag = -1 r = 128 g = 0 endif   if close > highlevel then flag = 1 r = 0 g = 128 endif endif   return flag coloured(r,g,0)style(histogram,2) as "Year Range Thirds"

  It counts how many bars are in a year by comparing today’s date to the first bar on a chart. Once a year has past it knows how many bars are in a year (so it can be used on any time frame). It then finds the highest high and the lowest low in that number of bars and so can then know what the top 1/3rd level is and the bottom 1/3rd level is.

  Not fully tested and written in a hurry!

  

  Vonasi

  Moderator

  Topics: 192

  Replies: 5088

  Been thanked: 1810 times
  03/29/2019 at 9:59 PM #95062
  Vonasi

  I first coded the indicator in my last post using for next loops and then while wend loops to get it to accurately only test the highs and lows in exactly the last year but it was incredibly slow to get a result. The version in the last post has the disadvantage that if the first year on a chart is a leap year then the number of bars it uses for all future years will be the number in a leap year but I felt it was accurate enough that the extra speed to calculate overcame the potential for inaccuracy.

  1 user thanked author for this post.

  Bard

  

  Vonasi

  Moderator

  Topics: 192

  Replies: 5088

  Been thanked: 1810 times
  03/29/2019 at 11:59 PM #95065
  Bard

  Wow, nice going @Vonasi, thanks very much for coding that and thank you @Gabri.

  Here is a Dow Chart that now shows another very interesting way of looking at the market. I’d been using Std Deviations, Linear Regression[60], R-Squared and ALMA 200 in blue and also Std Error Bands. But this gives a great indication of risk/returns and strength. I’ve also added the Bull/Bear ALMA indicator in the second image of the last 18 months of turbulence on the Dow. 👌👌

  As great as all the ingenuity that goes into these excellent indicators on PRC,  remember:

  As hunter gatherers our survival depended upon traits that have become hard wired into our DNA. We seized opportunity (food) when it presented itself and as we also stood our ground in adversity.

  Both those traits spell disaster for a trader!

  Friday evening, philosophical Bard.

  

  Bard

  Participant

  Topics: 131

  Replies: 809

  Been thanked: 99 times
• Author
  Posts