Stalled Pattern

Stalled Pattern is one of the commonly used candlestick patterns in quantitative trading, representing a bearish reversal pattern.

Calculation Principle

Stalled Pattern is identified by the following conditions:

  1. First day: A long bullish candle
  2. Second day: A bullish candle with body length smaller than the first day
  3. Third day: A bullish candle with body length smaller than the second day
  4. Closing prices of the three candles decrease sequentially
  5. Pattern appears at the top of an uptrend

Parameter Description

  • Input Parameters:
    • Open: Opening price
    • High: Highest price
    • Low: Lowest price
    • Close: Closing price
  • Parameters:
    • penetration: Body penetration ratio (default: 0)

Usage Recommendations

  1. Use in combination with other technical indicators
  2. Pay attention to the overall market trend
  3. Monitor volume confirmation
  4. Set reasonable stop-loss levels
  5. Watch for false breakouts

Notes

  • Ensure data quality
  • Pay attention to pattern completeness
  • Consider market environment
  • Watch for false signals
  • Combine with fundamental analysis
  • Pay attention to risk control
  • Regularly evaluate strategy effectiveness
  • Optimize parameters
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