📘 Three White Soldiers

By 42Fibonacci • Last Updated: 2025-12-16 • 7–9 min read
Part of the 42Fibonacci Candlestick Education Series

What Is the Three White Soldiers Pattern?⧉

The Three White Soldiers pattern is a strong bullish reversal formation that typically appears at the bottom of a downtrend. It consists of three consecutive bullish candles that rise steadily, signaling a sustained shift in control from sellers to buyers.

A valid Three White Soldiers pattern has three defining characteristics:

1. Three consecutive long bullish candles
2. Each candle opens at or near the previous candle’s close
3. Each candle closes progressively higher, showing follow-through

Unlike single- or two-candle reversals, this pattern stands out because it reflects persistent buying pressure over multiple sessions, not just a single burst of optimism.

Origin of the Pattern⧉

The name “Three White Soldiers” comes from the visual metaphor of three disciplined soldiers advancing together. Each candle represents steady progress rather than sudden aggression.

This imagery reflects the pattern’s true meaning:
a measured, organized advance that gradually overwhelms the opposing side.

The Psychology Behind the Three White Soldiers⧉

The Three White Soldiers pattern tells a clear story of confidence rebuilding step by step.

The first bullish candle marks the initial pushback against the downtrend. Buyers begin stepping in, but skepticism remains. Many traders still view the move as a temporary bounce.

The second candle builds on that progress. It opens near the prior close and pushes higher, signaling that buyers are willing to hold positions overnight and continue pressing their advantage.

The third candle confirms the shift. Once again, price opens near the previous close and advances higher. Sellers attempt to reassert control but fail for a third consecutive session. At this point, bearish conviction begins to break down.

Together, these candles show a transition from fear to confidence. The market is no longer reacting — it is repositioning, as buyers take control in a sustained and coordinated way.

How to Trade the Three White Soldiers (The Right Way)⧉

Quick read: Only trust it after a real downtrend, check candle quality (consistent bodies, small wicks, opens near prior closes), mind chase risk—wait for a pullback/hold above new support, align with structure/volume, and anchor risk to the base or first-candle low.

The Three White Soldiers pattern signals strength through persistence, but that same strength can tempt traders into chasing price. Trading it effectively requires balancing confirmation with risk awareness.

The goal is not to buy excitement — it is to identify when control has genuinely shifted and position accordingly.

Start With the Prior Trend

This pattern is designed to reverse bearish pressure, not to predict random upside.

• The strongest setups appear after a clear, extended downtrend, where sellers have already demonstrated dominance.
• If the market has been moving sideways or only pulling back modestly, the pattern often represents continuation noise rather than reversal.

Without prior selling pressure, the signal loses much of its meaning.

Read the Quality of the Advance

Not all Three White Soldiers are created equal. High-quality patterns typically show:

• Consistent candle size across all three sessions
• Small or absent upper wicks, indicating buyers controlled price into the close
• Opens near prior closes, showing confidence and follow-through

If candles shrink rapidly, develop long upper wicks, or lose consistency, it may signal early profit-taking rather than accumulation.

Understand the Timing Trade-Off

By the time the pattern completes, price has already moved significantly.

This creates a trade-off:

• Strength is confirmed, but
• Risk–reward may be reduced

Instead of entering immediately after the third candle:

• Consider waiting for a short-term pullback or consolidation
• Look for price to hold above newly formed support created by the pattern

Strong trends often pause before continuing — patience improves entries.

Define Invalidation and Risk Clearly

Every strong pattern still needs a failure point.

Many traders use:

• The low of the first candle, or
• The base of the three-candle structure

A close back below this area suggests that the advance may have been an exhaustion move rather than the start of a sustainable trend.

If the stop is too wide to manage comfortably, the setup may be correct — but not tradable.

Look for Structural and Indicator Confluence

The Three White Soldiers pattern gains reliability when aligned with broader signals, such as:

• RSI recovering from oversold territory
• MACD turning upward or crossing bullish
• Breaks above short-term resistance or declining trendlines
• Expanding volume across the three sessions

Confluence helps separate genuine reversals from temporary relief rallies.

Case Study: Three White Soldiers After Downtrend Hesitation⧉

Quick read: After sliding from an early-August peak near ~$104 into ~$95 support, $WMT showed repeated hesitation via Spinning Tops; a Three White Soldiers sequence then erupted at support, reclaiming the 21-EMA and 50-MA and resuming the bullish trend into late September.

Timeline

• Early August: $WMT reaches a local peak near $104 and begins to roll over.
• Early – Late August: Price declines into the ~$95 area, establishing a clear short-term downtrend.
• Late August: Multiple Spinning Tops appear near support, signaling hesitation and weakening downside momentum.
• Late August (signal window): A Three White Soldiers formation prints at horizontal support, reclaiming the 21-EMA and 50-MA.
• September: Buyers maintain control as price resumes a bullish trend into late September.

The Signal

• After several sessions of indecision, price printed three consecutive strong bullish candles, each closing higher than the last — the defining structure of Three White Soldiers.

Context

• A prior advance peaked near $104, followed by a steady pullback into ~$95, forming the proper downtrend context.
• The appearance of multiple Spinning Tops ahead of the signal indicated fading bearish conviction.
• The sequence emerged directly from a well-defined horizontal support zone, increasing its reliability.
• Each candle reclaimed and held above the 21-EMA and 50-MA, confirming expanding bullish control rather than a single-day bounce.

What Happened

• Sellers failed to regain control after the momentum shift.
• Buyers sustained pressure across subsequent sessions, allowing $WMT to resume its bullish trend.

📌 Reader Question

Look at the final candle on the chart. What pattern does it resemble — and where is it forming relative to prior structure?

Common Mistakes Traders Make With Three White Soldiers⧉

Quick read: Chasing after the three-day surge and accepting poor R:R, trading it without prior downside, ignoring growing upper wicks, calling any three green candles “soldiers,” using stops that are too tight or too wide, or assuming every relief rally is a lasting reversal.

Because the Three White Soldiers pattern looks powerful and obvious, it is often over-trusted. Many failed trades occur not because the pattern is wrong, but because traders misunderstand what the pattern is — and what it is not.

Chasing the Pattern After an Extended Move

By the time the Three White Soldiers pattern fully forms, price has already advanced significantly over multiple sessions.

Many traders mistake this strong confirmation for a “low-risk” entry, only to realize that the reward-to-risk ratio has deteriorated. Stops often need to be placed far below the pattern, while upside potential may be limited by nearby resistance or natural pullbacks.

In these cases, the pattern may still correctly identify a bullish reversal — but not every valid reversal offers a favorable trading opportunity. When risk becomes disproportionate to potential reward, discipline means waiting for a pullback, allowing structure to form, or passing on the setup entirely.

Strength confirms direction, not entry quality.

Ignoring the Prior Trend

Three White Soldiers is a reversal pattern, not a generic bullish signal.

When it forms:

• After a shallow pullback
• Inside a sideways range
• Near the top of an existing uptrend

It often represents continuation noise or exhaustion rather than a new trend. Without prior bearish pressure, the pattern loses its psychological edge.

Overlooking Upper Wick Behavior

Upper wicks matter.

• Clean soldiers should close near their highs
• Long upper shadows suggest sellers are stepping in
• Increasing wick size across the candles can signal fading momentum

If buyers cannot maintain control into the close, the advance may already be weakening.

Treating All Three Candles as Equal

Not every sequence of three green candles qualifies. Common misreads include:

• Candles that gap erratically
• Uneven candle sizes
• Weak closes on the second or third candle

A valid pattern reflects organized, disciplined buying, not chaotic volatility.

Using Unrealistic Stop Placement

The size of the pattern often tempts traders into poor risk decisions.

Some traders:

• Place stops too tight and get shaken out by normal pullbacks
• Place stops too wide, creating unfavorable risk profiles

If the structure is too large to manage safely, the correct decision may be to skip the trade, not force it.

Confusing Relief Rallies With True Reversals

Not every sharp bounce marks the start of a new trend.

In weak markets, Three White Soldiers may reflect:

• Short covering
• Temporary sentiment relief
• Mean-reversion rallies

Without volume expansion, structure breakouts, or follow-through, these rallies often fade.

Forgetting That Confirmation Still Matters

Even strong patterns need validation.

Traders often fail by:

• Ignoring volume behavior
• Skipping higher-timeframe context
• Entering without waiting for continuation or support holding

The pattern shows control shifting, not that the trend is guaranteed to continue.

Summary: Strength Through Consistency⧉

The Three White Soldiers pattern is one of the clearest expressions of sustained bullish commitment. Three advancing candles, each closing higher, reveal a market where buyers are no longer reacting — they are taking control.

When the pattern forms after a genuine downtrend and is supported by volume and structure, it can mark the early stages of a new uptrend. The key is patience: wait for quality, avoid chasing, and let confirmation guide execution.

Explore Three White Soldiers setups using our tools:

👉 Candlestick Pattern Scanner

When strength appears three days in a row, it’s worth paying attention — but always with discipline.