Technical Analysis

Traders should avoid trading bear pennants. Decades of testing on over 1,600 trades show bearish pennants have a success rate of only 54% and a low price decrease of 6%. The evidence is clear, pattern trading bear pennants is not worthwhile.

Traders must be cautious when trading bull pennants. Published research reveals a low success rate of 54% and a meager price increase of 7%. This implies pattern trading bullish pennants is as good as coin-flipping with unfavorable odds.

Be careful when trading bearish flags. According to published research, the bear flag pattern has a low success rate of 45%. This means you are flipping a coin when trading this pattern, as the odds are not in your favor. The high-tight bear flag is the only flag pattern you should trade.

A falling wedge is a technical analysis pattern with a predictive accuracy of 74%. The pattern can break out up or down but is primarily considered bullish, rising 68% of the time.

The inverse head and shoulders pattern is one of the most accurate technical analysis reversal patterns, with a reliability of 89%. An inverse head and shoulders pattern occurs when the price hits new lows on three separate occasions, with two lows forming the shoulders and the central trough forming the head.

Decades of trading research show the triple bottom pattern has an 87% success rate in bull markets and an average profit potential of +45%. The triple bottom chart pattern is popular because it is reliable, accurate, and generates a good average profit for traders.

Decades of research reveal the double bottom pattern has an 88% success rate in bull markets and an average profit potential of +50%. The double bottom chart pattern is one of the most reliable and accurate chart indicators for traders.

According to multi-year testing, the rising wedge pattern has a solid 81% success rate in bull markets with an average potential profit of +38%. The ascending wedge is a reliable, accurate pattern, and if used correctly, gives you an edge in trading.

A rectangle is a well-established technical analysis pattern with a predictive accuracy of 85%. The pattern is flexible, can break out up or down, and is a continuation or reversal pattern.

The head and shoulders pattern is one of the most accurate technical analysis reversal patterns, with a reliability of 81%. A head and shoulders top occurs when the price peaks on three separate occasions, with two peaks forming the "shoulders" and the central peak forming the head.

A descending triangle is a powerful technical analysis pattern with a predictive accuracy of 87%. The pattern is flexible and can break out up or down, and is a continuation or a reversal pattern.

According to two decades of trading research, the ascending triangle pattern has an outstanding 83% success rate in bull markets with an average potential profit of +43%. It's a well-known, reliable, and accurate pattern that can generate good profits.

A bull flag is a popular yet widely misunderstood technical analysis pattern characterized by a rapid upward price trend followed by parallel downslope consolidation in price. The price increase resembles a flag pole, while the price consolidation is the flag.

If a broad market index like the S&P 500 or the Russell 2000 is above the 200-day moving average, the stock market is in an uptrend. If the price is below, it is in a downtrend.

The Market Profile chart uses price and time to provide a unique way to visualize market action and the most important prices of a day's trading. The three core concepts are the point of control (POC), the time price opportunity (TPO), and 30-minute time blocks.

Testing reveals the best stock chart candlestick pattern recognition software is TrendSpider, TradingView, MetaStock, and Finviz. Tickeron's AI can detect traditional stock chart patterns.

Dow Theory is Explained Using His Six Tenets or Principles. These Principles form the Backbone of Modern Technical Analysis of Stocks & Markets

Stock volume is calculated as the number of stocks traded in a given period. But volume can also indicate changes in a stock's trend direction and provide insight into trend quality.  

The best TradingView indicators are Volume Profile HD, VWAP, Technical Ratings, MOSES, Supertrend, ATR, and automated chart pattern recognition.

Renko charts filter out unnecessary price fluctuations to provide a clear stock price trend that traders can use in their investing strategies. Renko charts are gaining in popularity due to their ability to filter out market noise and provide a clearer picture of the price action.