Bearish Three Black Crows Pattern
BEARISH THREE BLACK CROWS PATTERN (BTBCP)
downward-going black stairs
1. Market on an uptrend;
2. There are three consecutive long black sticks that look like stairs stepping downward; and
3. Each day closes at a new low but opens within the body of the previous day.
The BTBCP indicates that the market has been at a high price so long and the market may be approaching its peak. The first black stick shows a decisive downward move. The next two days show further decline in prices caused by the profit takers. This also shows a bullish mood that cannot be sustained anymore. If the black sticks are very extended, there might exist an oversold market.