This is the 53th 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)
Upside Breakout Chart Pattern
A Pennant (Bullish) is considered a bullish signal, indicating that the existing uptrend may proceed.
A Pennant (Bullish) observe a steep, or almost straight rise in cost, and consists of two converging trendlines that form a narrow, narrowing flag shape. The Pennant shape usually seems as a horizontal shape, rather than one with a downtrend or uptrend.
Separate from its shape, the Pennant is equivalent in all areas to the Flag. The Pennant is also comparable to the Symmetrical Triangle or Wedge continuation patterns however; the Pennant is typically shorter in duration and flies horizontally.
The constant trend is an significant characteristic of the construction. A superficial inbound improvement may indicates a length of combination before the amount move recommended by the construction begins. Look for an inbound trend that is extensive than the duration of the structure. A ideal idea of finger is that the inbound trend should be at least 2 times the duration of the construction
Criteria that Supports
Duration of Trading Range
The duration of the investment range for which the breakout occurred can provide an signal of the energy of the breakout. The extended the duration of the investing variety the more significant the breakout.
Narrowness of Investing Range
The “narrowness” of the trading variety can also be utilized to assess the breakout. To determine the narrowness of the investment range comparison the upper boundary with the lower boundary of the investing range. If the spending range has a small difference between the upper and lower boundary then the breakout is considered stronger and more reliable.
Support or Resistance
Look for a location of assistance or resistance around the ideal price. A place of price collection or a effective preserve and resistance Line at or around the desired cost is a effective indicator that the price will move to that place.
Price which conveniently move 50% earlier the 200-day Moving Average certainly support this construction.
Moving Average Trend
Look at the administration of the Moving typical development. For short duration designs use a 50 day Moving Average, for longer patterns use a 200 day Moving Average. The Moving Average should adjustment way within the duration of the construction and should now be proceeding in the way recommended by the construction.
A intense quantity enhance on the day of the construction confirmation is a intense signal in preserve of the possibilities for this layout. The amount enhance should be substantially above the typical of the quantity for the duration of the construction.
Criteria that Refutes
Duration of the Trading Range
The duration of the investment range for which the breakout occurred can supply an indicant of the stability of the breakout. The shorter the duration of the investment range the less significant the breakout.
Narrowness of the Trading Range
The “narrowness” of the trading range can also be used to evaluate the breakout. To decide the narrowness of the investing variety analyse the higher border with the lower boundary of the trading range. If the investing range has a large distinction amongst the upper and lower boundary (making it wide) then the breakout is regarded less strong and less dependable.
No Volume Spike on Confirmation
The lack of a amount increase on the day of the structure verification is an indicator that this structure may not be dependable. In improvement, if the amount has continued frequent, or was improving, over the length of the structure, then this structure should be regarded less dependable.
Moving Average Trend
Appearance at the location of the Moving Average development. For short length patterns use a 50 day Moving Average, for longer patterns use a 200 day Moving Average. A Moving Average that is trending in the opposite movement to that suggested by the pattern is an indication that this pattern is less reliable.
Short Inbound Trend
An inbound trend that is significantly shorter than the pattern duration is an indication that this pattern should be considered less reliable.
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?
TABLE OF CONTENTS
Candlestick and Chart Patterns (15 Days)
7 Most Important Candlestick Chart Patterns
- 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
Top 2 Bearish Chart Patterns
Top 6 Bullish Chart Patterns
- 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 (12 Days)
Bullish or Bearish Indicators
Bullish or Bearish Oscillators
- 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 (29 Days)
Bearish Classic Chart Patterns
- 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
- 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
Best Trading Theories (4 Days)
- Basics of Dow theory trading strategy forecasts
- Motive (Impulse) Waves
- Corrective Waves
- Wyckoff Chart Reading
Kind attention: this course is helpful for beginner and intermediate traders. It’s free for everyone. Advanced modules, trading strategies, and data (in-depth) are available for Moneymunch’s premium subscribers.