Candlestick Patterns

Kicker Pattern

Jason Parker, founder of Trading Habits
Most traders blow up chasing the setup they missed, not the one in front of them.
Jason Parker, Founder of Trading Habits

One candle closes a direction, the next opens on the opposite side of a genuine gap and keeps going. The size of that gap relative to normal volatility is what separates a kicker from an ordinary color flip.

Watch the gap gauge flag the genuine ones

Press play and the tape prints bar by bar. The needle shows each new bar's opening gap measured in ATR, average true range, so a gap gets judged against this ticker's own normal volatility instead of a fixed dollar amount. Set the ATR threshold that counts as kicker-worthy, then compare how flagged kickers hold up against small, same-size color flips that never gapped far enough to qualify.

Latest opening gap: — Flags a kicker when a color-flip bar's gap clears the threshold below.

Press play to start the tape.

0
Flagged kickers
—
Continued 5 bars later
0
Small color flips
—
Continued 5 bars later

How it works

  1. The color has to flip. The candle before the gap and the candle after it need to close in opposite directions, a bullish candle following a bearish one or the reverse.
  2. The gap gets measured against this page's own rolling ATR, not a fixed number. A quiet, low-volatility stretch and a wild one need different gap sizes to count as unusual, so the gauge reads in ATR multiples instead of price.
  3. A color flip with a small gap is just noise, not a kicker. This page tracks that comparison directly so it stays visible instead of assumed.
  4. Continuation is checked exactly 5 bars later against the flagged bar's own close. That is one specific, fixed way to measure it, a longer or shorter window can tell a different story from the same tape.
  5. No news event actually created these gaps. On a genuine chart, a kicker is almost always a reaction to something, earnings, an upgrade, a headline. This simulation only tests the shape of the gap, not the reason behind it.

Where this breaks

The shape doesn't know why the gap happened

A kicker's reputation as one of the more reliable reversal shapes comes from what usually causes it, a genuine piece of news forcing a fast repricing that leaves the old direction stranded. This simulation can only test the geometry: did the color flip, was the gap big enough relative to recent volatility. It has no concept of an earnings beat, a guidance cut, or an analyst call, the actual reasons a genuine kicker tends to work. Two gaps that look identical on a chart, one driven by genuine news and one driven by thin overnight liquidity in an illiquid name, will score the same on this page and behave very differently in a live market. The shape is a necessary condition here, never treat it as a sufficient one.

Risk & liability disclaimer: This page is an educational tool only, not financial, investment, or tax advice, and not a recommendation to take any specific trade. The candles and price data shown are randomly generated simulations for illustration, not genuine market data. Every strategy shown carries a genuine risk of loss, including loss of principal.
Jason Parker, founder of Trading Habits

Built by Jason Parker, founder of Trading Habits.