How to identify...
1. 1st two days are white days with an up gap between the 1st and 2nd day.
2. 3rd day is a black day which opens within the body of the 2nd day and closes within the gap between the 1st and 2nd days.
3. 3rd day should not fully close the gap.
Similar pattern(s)...
Bullish Upside Gap Three Methods
Psychology...
The gap up on the 2nd day does not get filled by the 3rd day. This suggests that the uptrend will continue.
* The market is in downtrend
* 1st and 2nd days are black candlesticks with a gap between them
* 3rd day is a white candlestick that opens within the body of 2nd day
* 3rd day does not close the gap
* The market is in uptrend
* 1st and 2nd days are white candlesticks with a gap between them
* 3rd day is a black candlestick that opens within the body of 2nd day
* 3rd day does not close the gap