MARKET REBELLION NUMBER 0003

CHART READING TECHNIQUES.

1.FLATBASE PATTERN( SECOND STAGE BASE)

Often occurs after the formation of the cup with handle and double bottom.

Can often another opportunity to start new position or add shares to an existing one.

Milder decline than cup wit handle and double bottom, starting time frame minimum 5 weeks.

  FLATBASE ( SECOND STAGE BASE)

2.KEY TRAITS OF FLATBASE CHART PATTERNS.

1.Prior uptrend 30% or more

2.Base depth 15% or more

3.Base length At least 5 weeks

NOTE: The first down weeks in the base counts as week 1.

4.Ideal buy point/ pivot point: Add 10 cents above the peak within the base .

Buying range: up to 5% above the ideal buy point.

Always buy as close as possible to the ideal buy point.

Volume on day of breakout must be 40%…..50% above the average.

FLATBASE PATTERN RECOGNITION.

KEY POINTS TO JOTT DOWN.

Chart patterns are reflection of human behaviors nothing new in the market what happen today occured 100 years ago.

Fear, emotions, greed remain the same for the years.

Get boring & good day don’t forget to do your personal analysis in the market even though the entire market is now down trending like the stone at the mountain.