📊1. Three Peaks Fable - "Things Should Not Happen More Than Three"

Prices reach a peak along an upward trend, forming three high points in succession, like a pendulum repeatedly testing the same height without breaking through. When the strength is exhausted for the third time, the door to reversal opens.

☀️2. Box Balance - "Stillness Leads to Action"

The horizontal consolidation at the top is a calm lake where bulls and bears are in a tug of war. The water surface appears calm, but there are undercurrents - if either side loses grip, the water will pour down.

❎3. Neckline Breach - "Broken Window Effect"

When the price breaks below the lower edge of the box (neckline), a downward trend emerges, and market sentiment swiftly shifts from wait-and-see to bearish, just like the first pane of glass being shattered, leading to more breakage.

✊4. Pullback Confirmation - "Revisiting Old Dreams"

The pullback after breaking down brings the price back to the neckline, testing support that has turned into resistance. If the rebound fails to return to the box, it will likely decline again in one go.

Operation Strategy

• Identify Three Peaks: Three high points roughly at the same level, with volume decreasing at each peak being better.

• Mark the Neckline: Connect the low points of the range, waiting for the body candle to close effectively below it.

• Wait for a Pullback: If the price tests the neckline and fails to hold, a weakening signal appears, then enter short positions.

• Risk Control Settings: Set stop-loss above the pullback high; the primary target is a downward equidistant shift of the existing height of the box, aiming for a risk-reward ratio of 1:3; if the trend continues, gradually lower the stop-loss to lock in profits.

⚠️Fund Management: Control single trade risk to 1-2% of the account, allowing small losses to protect large wins.

Why Do This

It shows that the bulls have failed three times to reach the peak, indicating that upward momentum is exhausted; turning bearish is gliding along the natural force. You are not fighting against the wind, but skiing with the mountain slope, converting gravity into forward momentum.