Three Drives
•Most of us expect trends to end in some epic buying/selling climax (i.e. Parabolic blow off) However, this isn't always the case.
•There are other types of climaxes and one of the more commons ones is the three drives pattern.
![](https://pbs.twimg.com/media/DmdALMQU0AE8bLN.jpg)
Spotting a three drive pattern doesn't necessarily warrant a counter-trend position. However, with trend traders should take profit or move up stops to protect against a potential reversal. Can be used as a factor of confluence.