Shapes and Formations
Price action (if not all occasions) is usually part of a micro or macro formation and the earlier you detect the structure, the better the entrance level for the trade. However its not so easy as a shape can be a subjective and hence
a subset of a bigger formation. Therefore its important that you look at a chart from many angles or perspectives.
How to trade them:
What helps confirm the formation is a strategy > there are rules or requirements for that shape for a trade, which is basically reducing risk and increasing your probability. For our subscribers we provide a checklist to assist you to confirm these formations. Access to this information is the “read more” button.
Is usually associated with topping out highs, buyers exhaustion. It can be a reversal formation or the 1st stage of re-accumulation. The trick to trading this is based on its context to the rest of the chart and what the indicators say.
Ascending Broadening Wedge
Is usually associated with topping out highs, buyers exhaustion. It can be a reversal formation
to be provided
Head and Shoulder