3 Drives

Spot the 3-drive:

When the initial low of the corrective is holding, do not trade against it because this is a bullish sign:

When the mid-level of a 3-drive is holding, price will probably continue in the direction of the 3-drive. Blue line is the mid-level.

Example of 3-drive within 3-drive:

Spot the 3-drive:

Good example of a clean 3-drive trade:

3-drive retesting previous structure point:

3-Drive within 3-drive (red and yellow) rejecting origin / distribution:

Spot the 3-drive:

3-drive reversal:

When a 3-drive starts directly from a LL AND structures are respected, then that is a bullish sign.

Also a V-rejection is shown (yellow) and the origin of the V-rejection is respected (blue). Also bulish signs.

Example of larger 3-drive:

The highs must have about the same space in between to consider it a 3-drive. This is an example where this is NOT the case. The blue area marks up too much void. The red line indicates the correct 3-drive:

Spot the 3-drive:

3-drive within 3-drive. Here you can enter on the last bearish candle:

Hard to see 3-drive / 3 spikes:

Use a limit order on the open of the candle when the body closes below the level again and if the candle has a big wick rejection:

After highs are being swept (yellow line), structure has been broken (arrow) and a 3-drive has formed, that's a nice entry:

When in a 3-drive structures are holding, this is often not a reversal sign. Also, 3-drives after a very strong push, won't reverse. They just and up being re-accumulation:

Another example of a 3-drive that fails after a strong push. Also structure is holding. Do not go against it. Take shorts when it breaks structure and it gets a retest (blue):