diff --git a/markdown.awk b/markdown.awk
index a0fcc2d..405e209 100644
--- a/markdown.awk
+++ b/markdown.awk
@@ -5,6 +5,7 @@ BEGIN {
 
 function parse_header(str,    hnum, content) {
 	if (substr(str, 1, 1) == "#") {
+		gsub(/ *#* *$/, "", str);
 		match(str, /#+/);
     	hnum = RLENGTH;
 
@@ -364,7 +365,7 @@ function parse_block(str) {
 }
 
 function line_continues(body, line) {
-	if (match(body, /^    /) && match(line, /^    /))
+	if (match(body, /^    /) && (match(line, /^    /) || line == ""))
 		return 1;
 
 	if (match(body, /^```\n/) && !match(body, /\n```$/))
diff --git a/test.sh b/test.sh
index 7ae2765..9f2f17c 100755
--- a/test.sh
+++ b/test.sh
@@ -86,6 +86,12 @@ check <<-EOF
 <h3>Header3</h3>
 EOF
 
+check <<-EOF
+# Header ### 
+---
+<h1>Header</h1>
+EOF
+
 check <<-EOF
 underlined header 1
 ===================
@@ -150,11 +156,15 @@ EOF
 
 check <<-"EOF"
     code
+    
     indented by
+
     spaces
 ---
 <pre><code>code
+
 indented by
+
 spaces</code></pre>
 EOF