Every year when preparing for the annual ChartPattern.com stock trading conference, I have a chance to look back on which trades worked best over the past year and what trends are emerging for the year ahead.
Throwbacks and pullbacks are not new to securities, but if you don’t understand how price behaves, a losing trade may result.
Technical Analysis is one of the oldest tools for making trading decisions. At its core, it’s simply analyzing the price and volume of the instrument you are trading.
In 1935 a book was published for sale to investors at an incredible price of $1500. That book was Profits in the Stock Market by H.M. Gartley. On page 249 Gartley describes a chart pattern, “Practical Use of Trend Lines”, which we now call the AB=CD Pattern.
A Head and Shoulders pattern on the EUR/USD daily chart A bearish reversal pattern defined by three prominent highs with a middle peak, (the head) that is higher than the other peaks (the shoulders). The neckline is drawn beneath the two price lows that separate the head from the shoulders. Downward penetration of the neckline is