From the beginning of this article, we have finished the study of the two K-line patterns, and we have come to the "Three K-lines" series. Three is a very special existence in technical analysis. There are three wave retracements in wave theory; there are triple bottoms, triple tops, etc. in technical forms. Everything has a mysterious relationship with "three". Let's uncover the "three roots" together. K line" mystery.
The first form to learn is the famous white three soldiers (sometimes also called red three soldiers).
The reason why the Red Three Soldiers are a classic form is that this form will not be ignored in any book or article about the basic knowledge of the gold candlestick chart. The specific form of the Red Three Soldiers is shown in the figure above. It consists of three K-lines with long entities, and the rises between them are similar. The opening price of each K line is closed in the stomach of the previous K line, and then the closing price breaks through the highest price of the previous K line, and the lowest price of each K line is higher than the previous one.
Many people think that the white three soldiers mean that the market is running in a bullish trend, and we should take advantage of the trend and go long to follow the market. In fact, there are still some disagreements on this issue. So in this form, what we have to do is to maintain a thinking and skeptical attitude. If the position of this form is in the upward trend initiated by the bulls, this is a continuous upward signal; but if the form occurs in the consolidation area, or at the end of the upward trend, it must be considered whether the upward force can continue. Form, we call it the "Three Soldiers of Thinking", here we have to consider whether there will be short resistance.