Downside Gap Three Methods Bearish
How to Identify it
- Two long black days occur with a gap between them
- The third day is a white day that fills the gap between the first two days
What it Means
A downtrend is followed by two long black days with a gap downward between them.
The third day is a white day, but one that closes the gap between the first two. This should be seen as support
for the downward trend.