Also known by the Japanese word sanku, the Three Gaps candlestick pattern contains (surprise, surprise!) three distinct gaps. Although there are two different versions of the signal (one bearish, one bullish), today we’re focusing on the Three Gaps Up pattern, which looks like a small staircase with gaps between some of the gangly stairs. This strong, defined upward trend may indicate that a reversal is on the way. Although the Three Gaps Up pattern isn’t a tremendously popular signal, its simple message should not be overlooked. To better understand its arrangement and significance, simply scroll down.
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