60-Days (Technical Analysis Training)

Continuation Diamond (Bearish) Chart Pattern

articles

This is the 26th Day course in a series of 60-Days called “Technical Analysis Training

You will get daily one series of this Training after 8 o’clock night (Dinner Finished)

Follow MoneyMunch.com Technical Analysis Directory and Learn Basic Education of Technical Analysis on the Indian Stock Market (NSE/BSE)

Technical-Analysis-Training

Continuation Diamond (Bearish) Chart Pattern

Implication

A Continuation Diamond (Bearish) is regarded as a bearish sign, specifying that the present downtrend might keep up.

Description

Diamond patterns generally form during countless months in too much effective markets. Volume is still high throughout the configuration of this pattern. The Continuation Diamond (Bearish) shows a possible extension of a downtrend.

The Continuation Diamond (Bearish) pattern takes place because rates generate higher highs and lower lows in an increasing pattern. Subsequently the trading rate progressively narrows upon the highs peak and the lows begin trending upward. The Technical Analysis happens whenever rates crack downward out of the diamond creation to continue the prior downtrend.

continuation_diamond.png

Trading Considerations

Duration of Pattern

Start thinking about the period of the pattern as well as its connection to your trading time territoire. The period of the pattern is regarded to be an signal of the period of the impact of this pattern. The extended the pattern the extended it will consume for the amount to go to its focus. The reduced the pattern the sooner the rate move. If you are considering a short-term trading possibility, see for a pattern with a small period. If you are thinking about a long-term trading possibility, see for a structure using a longer duration.

Target Price

The goal cost offers an significant signal regarding the prospective cost move that this pattern suggests. Give consideration to if the target amount for this pattern is enough to provide appropriate returns after your expenses (such as profits) have been taken into fund. A ideal rule of flash is that the focus on price must signify a expected return of greater than 5% before a pattern must be considered useful. However you must consider the latest price and the volume of shares a person plan to trade. Also, verify that the target price has not previously been reached.

Inbound Trend

The inbound trend is an important attribute of the pattern. A shallow inbound trend might show a period of combination before the price move suggested by the pattern begins. Look for an inbound trend that is longer than the period of the pattern. A great rule of thumb is that the inbound trend should be at least 2 times the duration of the pattern.

Criteria that Supports

Support and Resistance

Support can be found at the turning point of the lows and resistance at the top High of the Diamond.

Criteria that Refutes

No Volume

A absence of a volume through the pattern is an signal that this pattern may perhaps not be effective.

Short Inbound Trend

An inbound trend that is considerably shorter than the pattern duration is an warning that it pattern must be regarded lower effective.

Message for you(Trader/Investor): Google has the answers to most all of your questions, after exploring Google if you still have thoughts or questions my Email is open 24/7. Each week you will receive your Course Materials. You can print it and highlight for your Technical Analysis Training.

Technical Analysis Training (60 Days – Comprehensive Course)

Short-Term Chart Patterns (15 -Days)

Short-Term Chart Patterns: (7Days)

Gap Down Chart Pattern

Gap Up Chart Pattern

Gravestone Short-term Chart Pattern

Hammer Candle Stick Chart Pattern

Hanging Man Short-term Stock Chart Pattern

Inverted Hammer Stock Chart Pattern

Shooting Star Candle Stick Pattern

Bearish Short-Term Chart Patterns: (2Days)

Engulfing Line (Outside Bearish Reversal) Chart Pattern

Island Top Chart Pattern

Bullish Short-Term Chart Patterns: (6Days)

Engulfing Line (Bullish) Chart Pattern

Exhaustion Bar Chart Pattern (Bullish)

Inside Bar Chart Pattern

Island Bottom Chart Pattern

Key Reversal Bar (Bullish) Chart Pattern

Two Bar Reversal (Bullish) Chart Pattern

Indicators & Oscillators (Total – 11Days)

Bullish or Bearish Indicators: (3Days)

• Double Moving Average Crossover
• Price Crosses Moving Average
• Triple Moving Average Crossover

 

Bullish or Bearish Oscillators: (9Days)

 

• Bollinger Bands Oscillator
• Commodity Channel Index (CCI)
• Fast Stochastic Oscillator
• Know Sure Thing (KST) Oscillator
• Momentum Oscillator
• Moving Average Convergence/Divergence (MACD) Oscillator
• Relative Strength Index (RSI)
• Slow Stochastic Oscillator
• Williams %R Oscillator

Classic Chart Patterns (Total -29Days)

Bearish Classic Chart Patterns: (14Days)

 

• Continuation Diamond (Bearish) Chart Pattern
• Continuation Wedge (Bearish)
• Descending Continuation Triangle Chart Pattern
• Diamond Top Chart Pattern
• Double Top Chart Pattern
• Downside Break Chart Pattern – Rectangle
• Flag Bearish Chart Pattern
• Head and Shoulders Top Chart Pattern
• Megaphone Top Chart Pattern
• Pennant Bearish Chart Pattern
• Rounded Top Chart Pattern
• Symmetrical Continuation Triangle (Bearish)
• Top Triangle/Wedge Chart Pattern
• Triple Top Chart Pattern

Bullish Classic Chart Patterns: (15Days)

• Ascending Continuation Triangle Chart Pattern
• Bottom Triangle Or Wedge Chart Pattern
• Continuation Diamond (Bullish) Chart Pattern
• Continuation Wedge Chart Pattern (Bullish)
• Cup with Handle Bullish Chart Pattern
• Diamond Bottom Chart Pattern
• Double Bottom Chart Pattern
• Flag Bullish Chart Pattern
• Head and Shoulders Bottom Chart Pattern
• Megaphone Bottom Chart Pattern
• Pennant Bullish Chart Pattern
• Round Bottom Chart Pattern
• Symmetrical Continuation Triangle Bullish
• Triple Bottom Chart Pattern
• Upside Breakout Chart Pattern – Rectangle

Education and Extras (4Days)

• Motive (Impulse) Waves

• Corrective Waves
• Bullish Trend Reversals
• Bearish Trend Reversals
• Chart Pattern Statistics

This Completes the List of Courses.

.

Wishing you a wonderful learning experience and the continued desire to grow your knowledge. Education is an essential part of living wisely and the Experiences of life, I hope you make it fun.

Learning how to profit in the Stock Market requires time and unfortunately mistakes which are called losses. Why not be profitable while you are learning?

Previous ArticleNext Article

Leave a Reply

Your email address will not be published. Required fields are marked *