Forum Archive Index - July 2002
Please note usage of the Forum is subject to the Terms & Conditions.
Re: [sharechat] CLI - updated pattern
|
Hi Morgy - On the monthly chart I see a Broadening
Wedge (descending), which is a long term Bullish formation, and it could
possibly be turning into a Symmetrical Triangle which is often the lead up to
the break out scenario.
Andrew
----- Original Message -----
Sent: Tuesday, July 09, 2002 2:12
PM
Subject: Re: [sharechat] CLI - updated
pattern
Hi Andrew
Interesting chart, I
would be interested in seeing your analysis on the monthly chart where
this stock has posted continual lows since December 2000. Thanks in
advance
Regards
Morgy
----- Original Message -----
Sent: Tuesday, July 09, 2002 10:53
AM
Subject: [sharechat] CLI - updated
pattern
Gerry
As requested - CLI chart
THE FALLING WEDGE is a bullish pattern that
begins wide at the top and contracts as prices move lower. This price action
forms a cone that slopes down as the
reaction highs and
reaction lows converge.
In contrast to symmetrical triangles,
which have no definitive slope and no bias, falling wedges definitely slope
down and have a bullish bias. However, this bullish bias cannot be realized
until a resistance breakout. We
see a test of that resistance line over the last two days.
The falling wedge can also fit into the
continuation category. As a continuation pattern, the falling wedge will
still slope down, but the slope will be against the prevailing uptrend.
As a reversal pattern, the falling wedge slopes down and
with the prevailing trend. Regardless of the type (reversal or
continuation), falling wedges are regarded as bullish
patterns.
There is also a thread on the other
channel.
Andrew
----------------------------------------------------------------------------
To
remove yourself from this list, please use the form
at
http://www.sharechat.co.nz/chat/forum/
|
CP22clim.gif
----------------------------------------------------------------------------
To remove yourself from this list, please use the form at
http://www.sharechat.co.nz/chat/forum/
References
See IRG research reports
