Yesterday you learned how to chart

Today you will learn about a trader's bread and butter

Chart patterns

Let me show you in

"Chart Patterns Made Simple"

- A THREAD -

1.

Chart patterns are found as a result of consolidation

Consolidation is when a stock is neither breaking out or breaking down

It is almost just moving sideways on the chart

2.

Consolidation allows us to find out support & resistance levels

- Support is the area where the stock is likely to stop going lower
- Resistance is the area where the stock is likely to stop going higher

We want to buy when the stock breaks above resistance...

3.

Chart patterns come in many forms

We've got the:

- Bull flag
- Cup w/ handle
- Horizontal channel
- Ascending triangle
- Symmetrical triangle
- & more!

Let's look for a few of these..

4.

*Note*

You want to buy all of these patterns as they break above resistance

There are times when we buy in other locations

But to keep it simple, look to buy above the resistance level

5.

- The Bull Flag -

This pattern is known as a "continuation" pattern

Meaning it occurs after a move higher

The stock needs a breather before the next move higher

This is probably the easiest chart to buy (& one of my favorites)...

6.

- Cup w/ Handle -

Another favorite!

This pattern takes months to form (anything less won't be as powerful)

The stock will form the cup ( U-shape) over 2-3 months

Then the stock will drift lower while creating the handle

We're given multiple opportunities to buy...

7.

You can buy when the stock breaks above handle's resistance

And then buy more when it breaks the key resistance level

This pattern is powerful because of the time it needs to form

8.

- Horizontal Channel -

This one is a simple pattern

Both support & resistance are horizontal so we should know exactly where to buy...

9.

- Ascending Triangle -

Another favorite!

This is a tight risk pattern

Meaning we can risk less and buy more shares

It is characterized by a horizontal resistance line & ascending support line..

10.

- Symmetrical Triangle -

This is a fun one to trade

It's similar to the ascending triangle except the resistance line is descending

You'll quickly know if you're right or wrong when trading this pattern

In a bull market it usually rises

In a bear market is usually falls

11.

These 5 patterns are my bread and butter

Most of trading success has come from them

If you're not sure on how to use them then keep reading...

12.

The Big Picture goes over the entire charting/chart pattern process for you

Members are already making $100's weekly from the names I give

The best part?

All they have to do is buy and sell where I tell them

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