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Thomas Bulkowski’s successful investment activities allowed him to retire at age 36. He is an internationally known author and trader with 30+ years of stock market experience and widely regarded as a leading expert on chart patterns. He may be reached at

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Bulkowski's Bullish Side by Side White Lines

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Market
Industrials (^DJI):
Transports (^DJT):
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Nasdaq (^IXIC):
S&P500 (^GSPC):
As of 03/27/2017
20,551 -45.74 -0.2%
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702 -3.50 -0.5%
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20,100 or 21,250 by 04/15/2017
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675 or 715 by 04/01/2017
5,950 or 5,650 by 04/15/2017
2,275 or 2,425 by 04/15/2017
Mutt Losers: None YTD
Mutt Winners: None YTD

Written by and copyright © 2005-2017 by Thomas N. Bulkowski. All rights reserved. Disclaimer: You alone are responsible for your investment decisions. See Privacy/Disclaimer for more information.

My book, Encyclopedia of Candlestick ChartsEncyclopedia of Candlestick Charts book., pictured on the left, takes an in-depth look at candlesticks, including performance statistics.

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The bullish side by side white lines candlestick is a complicated pattern, judging from its frequency rank of 73 out of 103 candlestick types where 1 is the most popular. The pattern has three white candles that are supposed to be a bullish continuation pattern and they are, too, if you can find them. However, the post breakout trend ranks just mid list, so do not expect any large moves after the breakout.

Bullish Side by Side White Lines: Important Results

Theoretical performance: Bullish continuation
Tested performance: Bullish continuation 66% of the time
Frequency rank: 73
Overall performance rank: 46
Best percentage meeting price target: 61% (bear market, down breakout)
Best average move in 10 days: -6.07% (bear market, down breakout)
Best 10-day performance rank: 17 (bear market, down breakout)

All ranks are out of 103 candlestick patterns with the top performer ranking 1. "Best" means the highest rated of the four combinations of bull/bear market, up/down breakouts.

The above numbers are based on hundreds of perfect trades. See the glossary for definitions.

The ideal bullish side by side white lines candlestick
Bullish Side by Side White Lines
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Bullish Side by Side White Lines: Discussion

The bullish side by side white lines candlestick pattern acts in theory as it does in reality, as a bullish continuation pattern 66% of the time. That is quite respectable. The frequency rank is 73rd, so it is a rare pattern, but you still should be able to find examples. Out of over 4.7 million candle lines, I found 984, so the numbers are thin.

The best move 10 days after the breakout is a drop of 6.07% in a bear market. That ranks 17th for performance. I consider moves of 6% or higher to be good ones, so this candlestick makes the cut.

Bullish Side by Side White Lines: Identification Guidelines

CharacteristicDiscussion
Number of candle linesThree.
Price trend leading to the patternUpward.
ConfigurationLook for three white candles in an upward price trend. The last two candles should have bodies of similar size, open near the same price and above the top of the body of the first white candle.
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Bullish Side by Side White Lines: Three Trading Tidbits

If you want a few bones from my Encyclopedia of candlestick charts book, here are three to chew on. The pages refer to the book where the tips appear.

  1. Bullish side by side white lines candles that appear within a third of the yearly low perform best -- page 688.
  2. Select tall candles for the best performance -- page 688-689.
  3. Bullish side by side white lines within a third of the yearly high tend to act as continuation candles -- page 690.

Bullish Side by Side White Lines: Example

The bullish side by side white lines candlestick on the daily scale

The bullish side by side white lines appears circled in red on the daily scale. Price is trending upward leading to the start of the candlestick pattern. The first candle is a white one, in fact, all three are white candles. The last two candles in the pattern have bodies of similar size that open near each other and above the close of the first candle in the pattern. That restriction produces a gap between the first candle and the last two candles, if you ignore the shadows.

This bullish side by side white lines candle pattern has price entering the pattern from the bottom and exiting out the top. That means it acts as a bullish continuation. An upward breakout seals the deal when price closes above the top of the highest shadow in the three-line pattern.

Since the bullish side by side white lines acts as a continuation most often, you might think that the best trading setup is the one shown, that of having the candlestick appear in a rising price trend. However, the statistics say that reversals (downward breakouts) tend to be more powerful. Since the samples for this candlestick pattern are comparatively few, do additional research on this behavior before you decide to trade bullish side by side white lines.

-- Thomas Bulkowski

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Written by and copyright © 2005-2017 by Thomas N. Bulkowski. All rights reserved. Disclaimer: You alone are responsible for your investment decisions. See Privacy/Disclaimer for more information. C:\Dos. C:\Dos\Run. Run\Dos\Run!