Falling and Rising Three Methods: How to Enter and Exit the Market

The falling three methods and rising three methods can provide traders with a unique opportunity to get back into a missed trend. 

Generally, the prices of any given asset — including cryptocurrencies — don’t move in a straight line. However, there are up and down swings that give traders a second chance to reenter the market.

In this article, we’ve broken down how to enter and exit the market using the falling three methods and rising three methods. In addition, we offer a few real sample cases to better manage this trade continuation pattern. 

What Are the Falling and Rising Three Methods?

The falling three methods is a bearish trend continuation pattern that develops within a bearish trend and indicates an extension to the current trend. It is a candlestick pattern, made up of five candles where the first and last candles are bearish, moving in the direction of the prevailing trend. After the first bearish candle, the second through fourth candles indicate corrective momentum. Then, the fifth candle becomes bearish again and completes the continuation pattern.