CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Falling Three Methods

Bearish Abandoned Baby | Bearish Engulfing | Bearish Kicking | Bullish Abandoned Baby | Bullish Engulfing | Bullish Kicking | Dark Cloud Cover | Evening Doji Star | Evening Star | Falling Three Methods | Identical Three Crows | Morning Doji Star | Morning Star | Rising Three Methods | Three Black Crows | Three Inside Down | Three Inside Up | Three Outside Down | Three Outside Up | Three White Soldiers |

 
candle
Pattern: reversal
Reliability: high
 

Identification

A long black day in a downtrend is followed by three relatively small candles that move opposite the overall trend but stay within the range of the first day. The fifth day is a long black day that closes below the close of the first day and continues the downtrend.

Psychology

In a downtrend, a long black day is followed by a brief bounce (preferably on lightish volume). The fifth day simply continues the trend. The brief bounce is nothing more than a few days off for the bears.