What is an Advance Block?

Hi Sam,

The advance block refers to a bearish reversal pattern that indicates that a current uptrend is going to change direction. The pattern consists of three candles. 

The first candle is a white candle that appears as a long line during an uptrend. The first candle can be any of the following - White Candle, Long White Candle, Opening White Marubozu, Closing White Marubozu or White Marubozu.

The second line can be both a long or a short line and can be created by any white candle. This candle opens in the range of the first candle body and closes above it.

The third candle, just like the second one, can also be short or long and can be represented by any white candle but it opens in the range of the body of the second candle and closes above it.

In this pattern, each successive candle body is smaller than the previous one.