The Rising Three Method is a bullish continuation pattern (The opposite of the bullish Rising Three Methods pattern is the bearish Falling Three Methods). The first day’s green candlestick is followed by a group of small candlesticks, which hold within the long green candlesticks range. The small candlesticks can be any color but red is most common. The final day is a strong green candlestick with a close above the first day’s close. The formation represents a rest before resuming the bullish trend, which is similar to Flag or Pennant formations.
- The ideal number of small candlesticks is three.
- If on the final day there is heavy volume.