Falling wedge in a downtrend - reversal pattern - buying opportunity - break of upper resistance line.
take high of pattern, low of pattern. (high-low) is target ( from the break point ).
SL below bottom support.
Falling wedge in a uptrend - is a continuation pattern.
Rising wedge in a uptrend - reversal pattern - selling opportunity - break of lower resistance line.( same numbers as above ).
take high of pattern, low of pattern. (high-low) is target ( from the break point ).
SL above top support.
Rising wedge in a downtrend - is a continuation pattern
IMPORTANT:
1. Wait for the wedge to break to trade.
2. Look for "declining volumes" for uptrend break.
3. Look for "rising volumes" for downtrend break.
Video on Falling Wedge
Last hour run at the greedy 4700CE writers!
12 years ago
