haspete. .bullish rising three candle chart

I realise we havent seen many textbook examples but.....
Pete have you put the reliability of these as fairly strong?...does the fact it is not actually a continuation of an uptrend (it has upper resistance to rebreak)bugger it up.. even with that delightful doji reversal lower shadow......
doh c'mon.....lol




• In an uptrend, the first day is long blue candle
• The next three days are short red candles, ideally not exceeding the range of day-one
• The fifth day resumes the trend with a long blue candle


The Rising Three Methods bullish continuation pattern occurs in a bull market, where during an uptrend the market rests before resuming the trend. The bullish trends break is reflected by small candles that all stick to a strict market range formed by the aggressive move on day one.

A typical explanation for this type of formation might that the market is slowly digesting the relatively large moved reflected by day one. The small daily ranges in the middle candles often precede significant economic reports and FX moves. Such periods of relative inactivity and tight trading are common. Rising Three Methods is confirmed where a blue candle dives up to new highs reinstituting the bullish trend.

• Number of Middle Candles
In a picture perfect formation the middle candles number three. But realistically the pattern may have two, four or even five candles. Individually each middle candle may be a star or Doji, red or blue.

• Middle Candle Wicks
Important to note is that each middle candle wick needs to stay within the first candles high/low range to signal a strong continuation signal. With the bullish Rising Three Methods this is especially important for the lows. Should if a wick trades to a low below the first large blue candles low, it casts doubt over the strength of the continued uptrend.


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