Getting Started in Technical Analysis (Getting Started In.....) by Jack D. Schwager

Getting Started in Technical Analysis (Getting Started In.....) by Jack D. Schwager

Author:Jack D. Schwager
Language: eng
Format: mobi
Published: 2008-09-05T12:11:00+00:00


FIGURE 12.1 7a July 1994 soybeans.

Trade Entry Reasons

1. Rebound to resistance area implied by the concentration of prior relative highs (denoted by downward-pointing arrows).

2. Apparent peak in place based on the following factors:

a. Bull trap

b. Island reversal

c. Spike

d. Wide-ranging day

It is noteworthy that all four of the listed bearish patterns occurred on a single day! (Of course, in the case of the island reversal, by definition, the pattern also included the preceding and succeeding days.)

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