Broadening Formations
A broadening formation — the 'megaphone' — is the opposite of a triangle: diverging trendlines, an expanding range of higher highs and lower lows, and rising volatility. This article explains its anatomy, why it signals an unstable, emotional market (and often appears near tops as distribution), why it is one of the hardest patterns to trade, and the cautious ways experienced traders approach it.
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Price Channels
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Triangle Patterns
Triangles are consolidation patterns where price coils between two converging trendlines. This article explains the three types — ascending (flat highs, rising lows), descending (flat lows, falling highs) and symmetrical (both converging) — what each implies about the balance of buyers and sellers, how to trade the breakout with volume confirmation and a measured-move target, and how to avoid the false breakouts that trap the impatient.
Reversals
A reversal is a genuine change in a market's prevailing direction — an uptrend becoming a downtrend, or vice versa. This article defines a trend structurally (higher highs and higher lows, or lower highs and lower lows), shows how a reversal is the breaking of that sequence, and tackles the hardest problem in all of price action: telling a real reversal from an ordinary pullback. It closes on why reversals are only ever confirmed in hindsight, and why 'catching' them is where so many go wrong.
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