What is a Marubozu candlestick pattern and how to trade it?
Key takeaways A marubozu candle only has a body. It doesn’t have wick or tail. Bullish marubozu is a long green body candle Bearish marubozu is a long red body candle Statistics to prove if the Marubozu pattern really works Are the odds of the Marubozu pattern in your favor? How does the Marubozu behave with a 2:1 target R/R ratio? From our research the Marubozu pattern confirms 88.3% of the time on average overall all the 4120 markets we analysed. Historically, this patterns confirmed within 0.6 candles or got invalidated within 4.2 candles. If confirmed, it reached the 2:1 R/R target 30.5% of the time and it retested it's entry price level 98.6% of the time. Not accounting for fees, it has an expected outcome of -0.085 $/$ . It means for every $100 you risk on a trade with the Marubozu pattern you lose $8.5 on average. Want to account for your trading fees? Have the detailled stats for your favorite markets / timeframes? Or get the stats for another...
