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Home / Technical Analysis / Candlestick patterns / Upside Gap Three Methods

Candlestick formation · Bullish

Upside Gap Three Methods

What is it, in one line

Two green candles with a gap, then a red candle filling it.

Bullish · 3 candles · verdict: rule and thresholds below

Bullish 3 candles Traditional claim
Upside Gap Three Methods — 13 price bars ending on the bar where the Upside Gap Three Methods completes. The last 3 bars are the formation, shaded; the bars before them are the prior context the rule requires.
Verified example · fires the Upside Gap Three Methods rule · not a schematic

What has to be true

Two green candles with a gap, then a red candle filling it. The engine checks the formation as an executable condition over open, high, low and close, with a trend filter applied before the count is kept.

candles = 3 candles
direction = Bullish
trend filter = prior decline
forward window = 10 bars

Method

What the engine tests

Three candles: two up candles with a gap between them, then a down candle that opens inside the second and closes inside the first — filling the gap exactly. Distinct from an upside tasuki gap, where the third candle stops short and the gap survives.

Family
Candlestick
Bars
3 bars
Direction
Bullish
Class
Continuation
Prior context
Uptrend
TA-Lib
CDLXSIDEGAP3METHODS

The traditional claim

Traditionally read as a continuation: the gap was filled and the uptrend is expected to resume regardless.

How this detection is wrong

Tasuki gap and gap three methods are the same three candles distinguished only by whether the gap survives. Comparing the two counts on the same data is a direct test of whether filling the gap matters at all.

The thresholds the detector uses

Published so the count can be reproduced. Every figure below is a parameter of the rule, not a preference: change one and the occurrence count changes with it.

Detection parameters for the Upside Gap Three Methods
ParameterMeaningDefault
trendPeriodbars of prior trend inspected5
minPriorSlopeprior slope must be above1
minGapAtrgap between bars, at least, in ATR0
minBodyAtrbody, at least, in ATR0.3
atrPeriodbars of ATR used to size everything below14
strict
Tighter thresholds. Fewer detections, each a cleaner example.
minPriorSlope 1.5
loose
Wider thresholds. More detections, more marginal ones.
minPriorSlope 0.5
no-context
The prior-trend requirement removed, so the shape alone fires.
minPriorSlope not applied
no-gap
minGapAtr not applied

Easily mistaken for

These share enough geometry that a detector can return more than one of them on the same bar. The engine reports every match rather than picking a winner.

Every pair on the site that can be mistaken for another, and what separates each: the look-alikes index.

Common questions

What is a Upside Gap Three Methods candlestick pattern?

Three candles: two up candles with a gap between them, then a down candle that opens inside the second and closes inside the first — filling the gap exactly. Distinct from an upside tasuki gap, where the third candle stops short and the gap survives. The detector also requires a prior uptrend, so the same shape in the wrong context is not counted.

Is the Upside Gap Three Methods bullish or bearish?

It is read as bullish. Traditionally read as a continuation: the gap was filled and the uptrend is expected to resume regardless.

When is a Upside Gap Three Methods not a Upside Gap Three Methods?

Tasuki gap and gap three methods are the same three candles distinguished only by whether the gap survives. Comparing the two counts on the same data is a direct test of whether filling the gap matters at all.

How is a Upside Gap Three Methods detected?

As an executable rule over open, high, low and close, with 5 named parameters — including bars of prior trend inspected 5, prior slope must be above 1, gap between bars, at least, in ATR 0 — all published on this page so the count can be reproduced. Strict and loose variants are defined as well, so the sensitivity of the count to those thresholds is visible rather than assumed.

Measurement pending re-run

No hit rate is published here yet. The run that would supply one was computed on engine ca6d9e36c81c; the engine is now cfb08765de7c. Its candlestick rows included the still-forming bar, and it predates the chart formations entirely, so those figures have been withdrawn rather than published with a caveat. The definition above is unaffected: it is what the detector tests, and no re-run changes it.

How this was measured →

Other 3-candle formations

All 107 →
Downside Gap Three Methods Two red candles with a gap, then a green candle filling it.
Upside Gap Side-by-Side White Lines A gap up followed by two green bodies of similar size.
Downside Gap Side-by-Side White Lines A gap down followed by two green bodies of similar size.
Bearish Island Reversal A candle isolated by a gap up before it and a gap down after it, leaving it stranded at the high.

Size a trade on this setup before you take it.