Rising Three Methods: The Fifth Candle Rule

Summary

Hollow Point Trading shares a historical Caterpillar IEX replay explaining the rising three methods candlestick continuation pattern. It covers the initial rising candle, three smaller candles contained within its range, and the essential fifth candle close at a new high—helping traders avoid misidentifying the setup.

https://youtu.be/1A0b9oIEg7U

Rising three methods needs the fifth candle close #CAT #RisingThree...

Rising Three Methods: The Fifth Candle Rule
Rising three methods is a five candle continuation formation, not just three small candles after a rally. Its definition includes an initial rising body, three smaller bodies contained within the first high to low range, and a fifth candle closing at a new high. Do not skip the final condition. This historical Caterpillar IEX replay uses complet...

The latest from Hollow Point Trading

QQQ 718 Puts: The October 19 Chart Drop

Hollow Point Trading shares a short from its October 19 replay, showing the QQQ 718 puts callout, the chart drop, live contracts, and the exit. …