Bump and Run Reversal Pattern

A bump and run reversal pattern highlights the end of a trend and the start of a new one.

Often formed when an asset goes through a rapid rise (think BTC 2018 into early 2019) due to excessive speculation.

The bump and run pattern was introduced by Thomas Bulkowski in 1996 while studying price prediction techniques using trend lines.

There are three main phases to a bump and run.

• Lead in trendline
• Bump
• Run

These patterns work best on a HTF.

Time Stamps

3:06 – BAB Previous COTW (DO NOT TRADE THIS)

16:59 – XRP UPDATE

22:58 – AGGRESSIVE BUYING WHEN BULLISH MARKET STRUCTURE

• When there is a bullish market structure on daily or weekly buy breakouts and dips
• If if there is not much support wait for confirmation or area of invalidation

38:37 – BUMP AND RUN REVERSAL PATTERN

• Phase 1= lead-in the phase
• High being hit and then LL, LH, LL, LH
• Phase 2= bump phase
• Forms after the price have declined heavily
• You may see the bottom pattern form
• Phase 3= uphill run
• Price breaks through trendline resistance
• BUY: when it breaks through
• TARGET: high of leading phase
• Works on HTF

50:38 – TA BTC and Q&A