Wedge Pattern

Wedge Pattern

Wedge patterns are trend reversal patterns. They are composed of the support and resistance trend lines that move in the same direction as the channel gets narrower, until one of the trend lines get broken and reverse the immediate trend on heavy volume.

What Is a Trendline?

Trendlines are easily recognizable lines that traders draw on charts to connect a series of prices together or show some data’s best fit. The resulting line is then used to give the trader a good idea of the direction in which an investment’s value might move.

Change Your Trading Mistakes

Making mistakes is part of the learning process when it comes to trading or investing. Investors are typically involved in longer-term holdings and will trade in stocks, exchange-traded funds, and other securities. Traders generally buy and sell futures and options, hold those positions for shorter periods, and are involved in a greater number of transactions.

What is support and resistance?

Support and resistance are terms for two respective levels on a price chart that appear to limit the market’s range of movement. The support level is where the price regularly stops falling and bounces back up, while the resistance level is where the price normally stops rising and dips back down. To draw a accurate … Read more

Formation of consolidation according to Wyckoff

Phase 1 : Stopping the previously dominant trend. The offer prevailed. Decrease in supply is indicated by preliminary support (PS) and sales climax ( SC ). These events are visible on the charts, where widening spreads and high volume reflect the transfer of a huge number of shares from one speculator to another. As soon … Read more

error: Content is protected !!