Question
The upside gap two crows is a three-candle pattern that signals a slowing of momentum in an uptrend, which could forewarn of a reversal lower.
- The upside gap two crows is a three-candle pattern that signals a slowing of momentum in an uptrend, which could forewarn of a reversal lower.
- The pattern occurs in an uptrend, starting with a large up candle, a gap higher into a down candle, and then a larger down candle that engulfs the prior.
- A reversal lower is not assured. The price could move sideways or rally after the pattern.
- Some traders await "confirmation" before acting. This means waiting for the price to drop below the low of the third candle before selling or shorting.
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