Rally Base Rally refers to a demand zone that forms when a price rally (price increase) is followed by a base region (price consolidation), and then another price rally occurs on the candlestick chart. It is also denoted by RBR.
When the Rally Base Rally pattern forms on the chart, it means that buyers want to buy from the demand zone, and there are plenty of pending buy orders there. Professional traders wish to fill their buy orders from the demand zone to continue increasing prices.
RBR pattern is a natural phenomenon, such as the movement of waves in nature, which takes the form of compression and rarefaction. This phenomenon is the proof of validation of Rally Base Rally in the market.
During a bullish trend, price moves in the form of Rally Base Rally patterns. This pattern will be visible during strong trending market conditions.
Now let me explain with live market charts that prices always bounce from the demand zone on the first pullback.
Example #1
This is the real chart example in which Price first made a strong, bullish move.
Then, it consolidated sideways for a while. The portion in the blue circle highlighted in the image can be seen.
Again, after consolidation, the Price made a strong bullish wave, creating a final Rally Base Rally Pattern.
After a pullback to the zone, the Price again jumped from the zone after filling the pending buy orders of institutional traders and continuing the bullish trend.
This is how prices move as a Rally Base Rally Pattern during a bullish trend.