Exact formation
Three candles: broad bearish, separate small body or clearly indecisive and bullish that penetrates well into the first.
What is happening in the market
The selling pressure slows down, equilibrium appears and then buyers regain ground.
Where it matters
Potential end of a fall. In stocks there can be gaps; In continuous markets, visual separation is enough.
How to confirm it
The third candle is part of the confirmation; It improves if it closes in the middle of the first and has volume.
When it is invalidated
Loss of the minimum of the central star.
Common mistake
Confusing any three small candles with the impulse-pause-response sequence.