charting technique
123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Technical Analysis Overview 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Support Resistance Declining Trendline 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A horizontal line (floor) which has acted A horizontal line (ceiling) which has acted A straight line usually drawn to define a Inclining Trendline 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 as a barrier to lower prices. Usually as a barrier to higher prices. Usually downtrend against or through price bar 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A straight line usually drawn to define an 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 defined by two or more pirce bar lows. defined by two or more price bar highs. highs. uptrend against or through price bar lows. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Narrow Sideways Channel 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A formation that features both resistance 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Inclining Channel Declining Channel and support. Support forms the low price 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 An up-trending price bar pattern in which An down-trending price bar pattern in bar, while resistance provides the price 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 inclining parallel lines can be drawn which declining parallel lines can be ceiling. Chartists frequently buy on a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 through or against price bar highs and drawn through or against price bar highs break up and out of the Channel or sell 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 lows respectively. and lows respectively. on a break down and out of the Channel. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Pennants 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Non-Symmetrical Symmetrical Similar to a Symmetrical Triangle but 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A formation in which the slope of price A formation in which the slope of price generally not as elongated. The slope of 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 highs and lows are converging to a point highs and lows are converging to a point price bar highs and lows are converging 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 so as to outline the pattern in a nonso as to outline the pattern in a to a point so as to outline the pattern in a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 symmetrical triangle. To trade this symmetrical triangle. To trade this symmetrical triangle. To trade this 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 formation, place a buy order on a break up formation place a buy order on a break up formation, you can place orders at both 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 an out of the triangle or a sell order on a an out of the triangle or a sell order on a Fibonacci Retracements the break up and out of the pennant and 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 break down and out of the triangle. break down and out of the triangle. Fibonacci Retracement levels correspond break down and out of the pennant. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 percentage retracements that occur in the 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 ebb and flow of a market trend. According 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 to the Elliot Wave Theory, market trends 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 It is important to note that this Technical Analysis does not attempt to be a comprehensive treatment of Technical Analysis. tend to occur in five distinct waves: three 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 There are numerous, well-written books on chart interpretation. Please contact your broker for recommended reading list 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 waves that move in the direction of the 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 trend with the middle or third wave being on charting and technical analysis. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 the strongest usually, alternating against 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 two counter-trend waves. Elliot asserted Technical Analysis makes the assumption that history repeats itself. Any trading method or system that works well on a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 that these counter-trend waves will 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 broad sample of historical data, may have validity when applied to future trading environments. One should keep in mind usually retrace against the trending waves 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 that the markets are dynamic. The forces that motivate price movement are dynamic and the participants are dynamic. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 by 38.2, 50 and 61.8 percent (also, less 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 There any system which has performed well on past historic data may decline in value as the evolving markets change over frequently by 24 and 76 percent). These 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Retracement Percentages correspond to time. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 natural ratios discovered by the Greeks 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 called the Golden Ratio and rediscovered 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 The assumption is made that trading results can be imporved when trading skills are improved. This requires practice! 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 by Fibonacci, a medieval, Italian Surely any time spent learning to trade on past historical data, will not be wasted when it come to preparing for the future. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Mathematician. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Ascending Triangle Descending Triangle 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Falling or Declining Rising or Inclining 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A formation in which the slope of price A formation in which the slope of price 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 This formation occurs when the slope of This formation occurs when the slope of highs and lows come together at a point highs and lows come together at a point 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 price bar highs and lows join at a point price bar highs and lows join at a point outlining the pattern of a Right Triangle. outlining the pattern of a Right Triangle. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 forming an declining wedge. The slope of forming an inclining wedge. The slope of The hypotenuse in an Ascending Triangle The hypotenuse in an Descending 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 both lines is down with the upper line both lines is up with the lower line being should be sloping from lower to higher Triangle should be sloping from higher to 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 being steeper than the lower one. To steeper than the higher one. To trade and from left to right. To trade this lower and left to right. To trade this 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 trade this formation, place an order on a this formation, place an order on a break formation, place a buy order on a break formation, place a buy order on a break up 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 break up and out of the wedge or a sell up and out of the wedge or a sell order up and out of the triangle or a sell order and out of the triangle or a sell order on a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 order on a break down and out the on a break down and out the wedge. on a break down and out of the triangle. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 break down and out of the triangle. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 wedge. Falling wedges, with a prior Rising wedges, with a prior downtrend Ascending triangles, with a prior Descending triangles, with a prior uptrend, 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 uptrend, are anticipated to break up and are anticipated to break down and out, downtrend, are anticipated to break down are anticipated to break up and out, rather 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 out, rather than down and out. rather than up and out. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 and out, rather than up and out. than down and out. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Copyright (c) 2009, Gecko Software, Inc. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 All Rights Reserved 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901
Charting Techniques
www.TracknTrade.com 800-862-7193
123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Bear Flag 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Bull Flag A formation consisting of a small number of price bars in 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A formation consisting of a small number of price bars which the slope of price bar highs and lows are parallel 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 where the slope of price bar highs and lows are parallel and inclining. Bear Flags are identified by their 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 and declining. Bull Flags are identified by their 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 characteristic pattern and by the context of the prior 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 characteristic pattern and by the context of the prior trend. trend. In the case of a Bear Flag the trend leading to the 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Breakaway Gaps In the case of a Bull Flag the trend leading to the formation of the Bear Flag is down. To trade this 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Occur when prices gap higher or lower out of a formation of the Bull Flag is up. To trade this formation, formation, place buy and sell orders on the break up 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 congestion pattern in the direction of the prevailing place orders on the break up and break down points, and down of the flag, leaving the unfilled order as your 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 trend. leaving your unfilled order as your stop loss. stop loss. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Rounded Bottom 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 1-2-3 (A-B-C) Bottom 1-2-3 (A-B-C) Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Rounded Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up on a Anticipates a change in trend from up to down on a break 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from up to down. break above the number 2 point. below the number 2 point. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Head and Shoulders Top Double Top Triple Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a decline on a break below the Neckline. Anticipates a change in trend from up to down. Anticipates a change in trend from up to down. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Triple Bottom Head and Shoulders Bottom Double Bottom 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up. Anticipates a rise in prices on a break above the Neckline. Anticipates a change in trend from down to up. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Congestions 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Generally refers to any type of chart pattern in which prices are temporarily trapped in a trading range. The range can be converging, expanding or defined by parallel lines on the horizontal. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Congestions of shorter duration are usually found to be a variation of a Flag, or some variation of a converging or expanding triangle. Periods of longer congestion are usually defined by a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 variation of a converging or expanding triangle, or may be an elongated parallel channel on the horizontal. Such patterns are frequently referred to being Continuation patterns if price break out in 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 the direction of the trend leading to the formation of the congestion pattern. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Continuation Patterns 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Periods of longer congestion are usually defined by a variation of a converging or expanding triangle, or may be an elongated parallel channel on the horizontal. Such patterns are frequently 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 referred to being continuation patterns if price break out in the direction of the trend leading to the formation of the congestion pattern. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901
Charting Techniques
www.TracknTrade.com 800-862-7193
123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Bear Flag 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Bull Flag A formation consisting of a small number of price bars in 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 A formation consisting of a small number of price bars which the slope of price bar highs and lows are parallel 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 where the slope of price bar highs and lows are parallel and inclining. Bear Flags are identified by their 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 and declining. Bull Flags are identified by their 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 characteristic pattern and by the context of the prior 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 characteristic pattern and by the context of the prior trend. trend. In the case of a Bear Flag the trend leading to the 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Breakaway Gaps In the case of a Bull Flag the trend leading to the formation of the Bear Flag is down. To trade this 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Occur when prices gap higher or lower out of a formation of the Bull Flag is up. To trade this formation, formation, place buy and sell orders on the break up 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 congestion pattern in the direction of the prevailing place orders on the break up and break down points, and down of the flag, leaving the unfilled order as your 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 trend. leaving your unfilled order as your stop loss. stop loss. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Rounded Bottom 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 1-2-3 (A-B-C) Bottom 1-2-3 (A-B-C) Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Rounded Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up on a Anticipates a change in trend from up to down on a break 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from up to down. break above the number 2 point. below the number 2 point. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 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123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Head and Shoulders Top Double Top Triple Top 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a decline on a break below the Neckline. Anticipates a change in trend from up to down. Anticipates a change in trend from up to down. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Triple Bottom Head and Shoulders Bottom Double Bottom 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Anticipates a change in trend from down to up. Anticipates a rise in prices on a break above the Neckline. Anticipates a change in trend from down to up. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Congestions 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Generally refers to any type of chart pattern in which prices are temporarily trapped in a trading range. The range can be converging, expanding or defined by parallel lines on the horizontal. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Congestions of shorter duration are usually found to be a variation of a Flag, or some variation of a converging or expanding triangle. Periods of longer congestion are usually defined by a 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 variation of a converging or expanding triangle, or may be an elongated parallel channel on the horizontal. Such patterns are frequently referred to being Continuation patterns if price break out in 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 the direction of the trend leading to the formation of the congestion pattern. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Continuation Patterns 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 Periods of longer congestion are usually defined by a variation of a converging or expanding triangle, or may be an elongated parallel channel on the horizontal. Such patterns are frequently 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 referred to being continuation patterns if price break out in the direction of the trend leading to the formation of the congestion pattern. 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901 123456789012345678901234567890121234567890123456789012345678901212345678901234567890123456789012123456789012345678901
