– Price patterns try eliminate the limitation of the Dow theory .
– The Double top indicates possible bear trend and double bottom indicates possible bullish trend
– The head and shoulders pattern follows the same sequence as its name and indicates distribution . Can be inverted also
– Cup formation takes place when buyer is accumulating slowly and steadily only after his price is achieved .
– Flag pattern takes place after a steep rise and then a horizontal movement .
– Triangle takes place when the top and the bottom are contantly coming closer to each other thus forming a triangle shape . A triangle pattern can lead to movement in any direction .
, , Price Patterns, cup pattern, Double bottom, Double Top, flag pattern, Head and Shoulder, triangle pattern
