HomeNewsBusinessTechnicalsBearish Falling Three Method: Bearish Continuation Pattern

Bearish Falling Three Method: Bearish Continuation Pattern

Bearish Falling Three Method is a bearish continuation pattern. It is opposite of bullish rising three method pattern. The pattern occurs after a downtrend.

August 24, 2011 / 11:04 IST
Story continues below Advertisement

It is a bearish continuation pattern. It is opposite of bullish rising three method pattern. The pattern occurs after a downtrend. A strong move down in the first candle is followed by two to four candles of bouncing action (ideally three). Once the bounce has completed, a strong red candle takes the stock below the lows of the first candle.

Some skills are essential to identify if a breakout (breakdown) is supported by more than a few traders while trading bearish falling three method in day trading.
first published: Aug 18, 2011 05:31 pm

Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!