Page 25 - Module 5 - Key_Players_in_the_financial_game

Module 5 – Understanding the game between the bulls and bears

Continuation Pattern
A continuation pattern is composed of 2 legs and a base.
1. Rally

2. Base
3. Rally

Candle #1 is the first leg (rally). There are more candles below that makes the rally even more
extended.

Candle #2 is the pause, a 50% basing candle market pauses

Candle #3 confirm there was an imbalance at potential CP demand at #2.

Initially the base at #2 was a PCP, but once the explosive rally happened at the PCP became a CP of
demand

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