HOME ABOUT ARCHIVES BLOG SUBSCRIBE   SIGN IN











Abandoned Baby
Belt Hold
Breakaway
Concealing Baby Swallow
Doji Star
Dragonfly Doji
Engulfing
Gravestone Doji
Hammer
Harami
Harami Cross
Homing Pigeon
Inverted Hammer
Kicking
Ladder Bottom
Mat Hold
Matching Low
Meeting Lines
Morning Doji Star
Morning Star
Piercing Line
Rising Three Methods
Separating Lines
Side by Side White Lines
Stick Sandwich
Three Inside Up
Three Line Strike
Three Outside Up
Three Stars In the South
Three While Soldiers
Tri Star
Unique Three River Bottom
Upside Gap Three Methods
Upside Tasuki Gap

Breakaway
print this page
send to a friend



Pattern: reversal
Reliability: moderate

Identification
A long black day is followed by a black day that gaps below the first day. The next two days continue in the same direction with lower consecutive closes. The final day is a long white day that closes in the gap between the first and second days.

The Psychology
In a downtrend or within a pullback of an uptrend, the stock exhausts itself with a gap down, but although the downward movement continues, it slows noticeably. The long white day suggests a possible reversal in the making to at least fill the overhead gap. Declining volume on the three middle days with a pickup in volume on the white day serve as confirmation.