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Nikita (SEBI RA)

20th Oct · SEBI-Registered Analyst

Deliberation Pattern – Potential Reversal 🚨

📊 The Deliberation Pattern (also called "Advance Block") is a 3-candle pattern showing uptrend slowdown. ✅ Formation: 1️⃣ First → Big green candle. 2️⃣ Second → Another green candle but smaller body. 3️⃣ Third → Small candle (green or red) closing near the 2nd, often with upper shadow. ✅ Meaning: Bulls losing strength → possible top / reversal. 📌 Example: Stock rallies ₹520 → ₹570, then next candle smaller green closes ₹580, then small indecisive candle closes ₹582 with long wick → Deliberation Pattern → caution for reversal. 🧠 Tip: Confirmation with red candle next day improves reliability.

MARUTI

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