Cup and Handle -
The Cup and Handle pattern is a bullish continuation pattern found
within uptrends.
Flag Patterns -
Flag patterns are continuation patterns found within trends which
resemble a flag on a pole.
Bull Flag
-
Bull flag patterns are continuation patterns found within uptrends
which resemble a flag on a pole.
Bear Flag -
Bear flag patterns are continuation patterns found within downtrends
which resemble an inverted flag on a pole.
Pennant Patterns
- Pennant Patterns are continuation patterns marked by narrowing price
action following a steady price move.
Bull Pennant - A Bull Pennant occurs during an uptrend as
a resting period of narrowing price action to indicate upside
continuation.
Bear Pennant - A Bear Pennant occurs during a downtrend
as a resting period of narrowing price action to indicate downside
continuation.
Triangle Patterns
- Triangle Patterns are generally continuation patterns marked by
narrowing price action which is easily seen with trend lines.
Symmetrical Triangle - Symmetrical Triangle patterns form
a narrowing price range with converging trend lines which are
symmetrical.
Ascending Triangle - Ascending Triangles are bullish and
often form within uptrends as continuation patterns.
Descending Triangle - Descending Triangles are bearish
continuation patterns which form within downtrends.
Channeling Stock
- Channeling stocks are trading ranges formed by two parallel trend
lines.
Descending Channel - Descending Channels are downtrends
marked by two parallel trend lines.
Ascending Channel - Ascending Channels are uptrends
formed by two parallel trend lines.
Rectangle Pattern - A rectangle pattern is a trading range
following a trend, making it a continuation pattern.
Double Top
- Double Top patterns are bearish reversal signals found at the end of
an uptrend and are marked by two equal price highs.
Double Bottom
- Double Bottom patterns are bullish reversal signals found at the end
to a downtrend by forming two equal price lows.
Head and Shoulders Top
- Head and Shoulders Top patterns are bearish reversal patterns found at
the end of an uptrend.
Head and Shoulders Bottom
- Head and Shoulders Bottom patterns are bullish reversal patterns found
at the end of a downtrend.
Wedge Patterns
- Wedge Patterns in stocks are marked by narrowing price action and
converging trend lines.
Falling Wedge - Falling Wedge patterns are usually
resolved to the upside, making them bullish chart patterns.
Rising Wedge - Rising Wedge patterns are bearish chart
patterns with a narrowing price range and an upward slant.
Rounded Bottom
- Rounded Bottom patterns are bullish reversal chart patterns following
a downtrend which resemble a cup.
Triple Top
- Triple Top patterns are bearish reversal patterns marked by three
equal peaks following an uptrend.
Triple Bottom
- Triple Bottom patterns are bullish reversal patterns marked by three
equal lows following a downtrend.
Capitulation
- Capitulation is panic selling, and often signals the end of a
downtrend with a high volume decline.
Consolidation
- Consolidation is another description for a trading range and the
complete absence of a trend.
IPO
- IPO stands for Initial Public Offering and is the first time a stock
is traded publicly on an exchange.
Measured Move
- Measured Moves are found within trends and are price projections for
continuation chart patterns.
Overbought - Overbought conditions are found when a stock
moves up at an unsustainable rate, and is due to consolidate or rest.
Oversold
- Oversold conditions are found when a stock moves down at an
unsustainable rate, and is due to consolidate or rest.
Short Selling - Selling Short
- Short selling is the sale of a security which is not owned by the
seller with the promise of replacing the borrowed shares with an
offsetting purchase, hopefully at a lower price.
Support and Resistance
- Support and Resistance levels are areas of excessive supply or demand
which prevent a stock from moving lower or higher.
Stock Gaps
- Stock Gaps occur when a stock skips a price level and a blank place is
left on the stock chart.
Common Gap - Common Gaps are insignificant price gaps in
a stock which are filled quickly.
Breakaway Gap - Breakaway Gaps signal the beginning of a
trend in a stock and are not filled quickly.
Runaway Gap - Runaway Gaps occur during an emotional
context of a trend, often in momentum stocks.
Exhaustion Gap - Exhaustion Gaps often signal the end of
a trend and are filled soon after they form.
Trend Lines
- Trend Lines connect a series of highs or lows to define and confirm a
trend.
Uptrend - Uptrends are marked by consecutive higher lows
and higher highs in a stock, resulting in a price advance which
trends higher.
Downtrend - Downtrends are marked by consecutive lower
highs and lower lows, resulting in a price decline which trends
lower.
Parabolic Uptrend
- Parabolic uptrends can also be called panic buying, when a stock
begins to move higher so quickly it becomes almost vertical.
Volume
- Volume is a measure of liquidity and is the total number of shares
traded for a given timeframe.
Volatility
- Volatility is the extent to which prices fluctuate.