What are the Rising Three Methods?
The ascending triangle is a trend continuation pattern that appears in the middle of an uptrend. This is not a reversal, but a confirmation signal that “this upward trend will continue”.
Consists of 5 packets:
- Big candle (strong rise)
- 3 small negative candles (slight adjustment, but within the range of 1 candle)
- Big candlestick (New report closes)
exact conditions
| Conditions | standards |
|---|---|
| 1 bag | Big beekeeping |
| 2~4 bags | 3 small positive candles (moving within the range of 1 candle body) |
| 5 bags | Big candle — 1 candle closed above the closing price (new price) |
Key: A correction of 2 to 4 bars should not go below the opening price of 1 bar. The key is that adjustments are made within a controlled range.
Falling Three Methods
A downward continuation pattern that appears in the middle of a downward trend. Full mirror image:
- Big black candle (strong decline)
- 3 small candles (slight adjustment, within 1 candle range)
- Big black candle (closes new low)
Use as a trend continuation pattern
When rising triad occurs:
- Long position holder: Maintain position, increase stop loss
- New entry: Long entry at the closing price of the 5th candle (big candle)
When the downward sambeop occurs:
- Short position holder: maintain position
- New entry: Short entry at the closing price of the 5th candle (big black candle)
Three Laws vs. Three White Soldiers/Three Black Crows
| Three Laws | Three Soldiers/Crow | |
|---|---|---|
| meaning | Trend Continued | Trend Transition |
| Appearance | trend middle | End of trend |
| Middle bar direction | Adjustment (reverse) | Continuous (same direction) |
The key to the three methods is to check for re-rise/decline after adjustment.