Falling Three Methods is a bearish trend continuation candlestick pattern consisting of five candles.

The Falling Three Methods candlestick pattern is recognized if:

  • The first candle is long and bearish and continues the downtrend;

  • The next three candles are short and, as a group, form a short-term uptrend, closing within the first candle's body;

  • The fifth candle is long and bearish again and its Close price is lower than that of the first candle.

Input Parameters

Parameter Description
length The number of candles used to calculate the average body height. If the body height of a candle exceeds this average, it is considered long.
trend setup The number of preceding candles to check if the trend exists.
body factor The factor used when checking if a candle is short. A candle is considered short if its body height is lower than the average multiplied by this factor.


Plot Description
Bearish The Falling Three Methods candlestick pattern.

For educational purposes only. Not a recommendation of a specific security or investment strategy.
Technical analysis is not recommended as a sole means of investment research.
Past performance of a security or strategy does not guarantee future results or success.