Pattern Detail

Bullish Unique Three River Bottom

Three-candle bottom: a down candle, a hammer-like down candle that pokes to a new low, then a small up candle holding above.

An idealized Bullish Unique Three River Bottom, drawn to show the shape. This pattern did not occur on the markets tested, so this is a textbook example rather than a real occurrence. The bright candles are the pattern; the dimmed bars are surrounding context.
An idealized Bullish Unique Three River Bottom, drawn to show the shape. This pattern did not occur on the markets tested, so this is a textbook example rather than a real occurrence. The bright candles are the pattern; the dimmed bars are surrounding context.

Shown only on the markets where this pattern occurs.

This pattern did not fire often enough on this market and timeframe to measure. Try a lower timeframe or a more active instrument.

A unique three river bottom is an unusual three-candle bottom. A down candle prints, then a second candle gaps up but still closes lower, leaving a long lower wick like a hammer that pokes to a fresh low below the first candle. A small up candle follows and stays below the second candle’s close. The long tail on the middle candle is the key: sellers drove price to a new low, then lost it, and the quiet up candle shows the selling running dry.

How to spot it

  • The market is falling into the pattern.
  • The first candle is a down (red) candle that fits the decline.
  • The second candle opens above the first but closes lower, with a long lower wick and a small body near the top of its range.
  • That second candle dips to a low below the first candle’s low, then recovers.
  • The third candle is a small up (green) candle that closes below the second candle’s close.

The psychology

The first down candle fits the decline, so sellers are still running things. On the second candle they make their hardest push: price pokes below the first low to a fresh bottom. Then it slips away from them. The bar recovers off that low and leaves a long tail, the mark of selling that reached for new ground and could not keep it.

The third candle is the tell. It is small and quietly green, and it holds above the lows without much effort. Sellers who broke to a new low one bar ago now cannot follow through, and the calm of that little up candle shows their pressure draining away. The handover here is gentle rather than violent: not a sharp snap back, but selling that simply runs dry near the bottom.

A fresh low that fails to hold, followed by quiet, is a subtle turn. The figures below weigh how much that subtlety tends to be worth.

Does it actually work?

A pattern is a setup, not a trade, so the honest question is not “did it win” but “how much room did it tend to offer before it was proven wrong.” The tabs below answer that across five futures markets (Nasdaq, S&P 500, gold, crude oil, natural gas) and seven timeframes from one minute to one day.

For each occurrence we measure the room the move offered in units of the pattern’s own risk, then set it against what a random entry on the same market would have done. When the pattern offers more room more often than chance, that shows up as a real edge. When it does not, the page says so plainly.

Read it with the sample size in view. On the faster timeframes a pattern can fire thousands of times, enough to trust. On the daily chart it is far rarer, so treat those numbers as a hint rather than a verdict. Thin samples are flagged for you on the page.

Did it appear?

In the five futures markets and the history measured here, this pattern did not occur. It asks for a down candle that opens higher yet sells off to a new low and closes with a long lower tail, a shape these futures rarely draw at the exact spot the pattern needs. The measurement below is ready for it, but on these markets there has been nothing to measure. Treat it as a textbook form to recognize rather than a setup you will meet often here.

How we measured it

  • Entry is the close of the final candle of the pattern.
  • One unit of risk, 1R, is the distance from that close down to the pattern’s invalidation point: the lowest low of the three candles that form it. If price trades through there, the setup is wrong.
  • We then follow the next 20 bars and record how far price ran in your favor, in multiples of that risk, before the stop was hit.
  • Every figure is set against a random entry on the same market and timeframe, so the market’s own drift is accounted for.
  • No profit target and no position sizing. Where you take profit is a strategy choice; this measures only the room the pattern tends to give.

What this page does not cover

  • Volume on the pattern’s candles.
  • Whether the pattern forms at a meaningful support level.
  • Pairing it with a trend filter or a confirming signal.
  • A profit target or position sizing. We use the pattern’s own invalidation point as the stop to define risk, but where you take profit, and how much you put on, are strategy decisions this page leaves to you.

Backtest this pattern

Run it on your contracts, timeframes, and dates.