(2H) The Three Drives Pattern // Target the fibs



"All patterns are formed by crowd psychology, and it is interesting and educational to study what forms any particular pattern. The Three Drives pattern is slightly different in its psychology, as it has three tops or bottoms that must form to complete the pattern, compared to most patterns with one (or occasionally two in the cases of double bottoms and tops). It is a natural phenomenon that bulls are the most bullish at the tops of markets and bears the most earish at the bottom. When this occurs there is typically an unusual amount of news that accompanies these tops and bottoms in favor of the excess bullishness or bearishness.
The Three Drives pattern goes through an extended process of bringing in new buyers or short sellers too early at tops with successive waves and new sellers at lows or new buyers who are too early. The pattern generally makes the final wave as the last buyer has bought at the top and the last seller has sold at the bottom. This is the time then the market will appear absolutely the most bullish or most bearish . The last push up or down to form the last gasp in the market is almost like a game of hot potato, and the market has just passed the last hot potato to the last market participant before it changes direction. As the market then changes direction, each new low below the latest
swing low in an uptrend now has more bulls trapped. Conversely, each new high above the previous swing low has more bears trapped. This in itself can add fuel to a rally or decline. Usually it is not until a new trend is well under way that the news media will also change direction. "

You can check all details about this pattern at link below...

Safe Trades;
Comment: First target
Trade closed: target reached: 2nd target reached
Good stuff, thanks.
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out