Trend Reversals

Discussion in 'Technical Analysis' started by rahulg77, Mar 26, 2006.

  1. rahulg77

    rahulg77 Member

    Joined:
    Feb 19, 2006
    Messages:
    355
    Likes Received:
    4
    Trophy Points:
    18
    Hi all,

    I was looking at the charts of ABB. Do the last few days represent a descending triangle. it did look as the low of the tickers look in the same line and highs seem to be descending. If i am wrong can someone please attach a file here of a chart that does represent the same. A chart of an Indian stock would be more appreciated.

    Also when we see trend reversals...do they just show immediate decline in ratio to the height of the triangle or a down trend can start or it can be either. and how do we know what it is.

    Also it would be nice to see charts of other trend reversals in our indian stocks. It would be nice to see them visually as it would make it clear as how they should look.

    Traderji, even your input would be highly appreicated.


    Regards
    Rahul

    All your inputs would be highly appreciated.
     
  2. Traderji

    Traderji Super Moderator

    Joined:
    Jun 14, 2004
    Messages:
    1,825
    Likes Received:
    871
    Trophy Points:
    113
    ABB seems to be forming a flag or pennant formation.

    Flags and pennants are short-term congestion patterns (one to five weeks) that form in trends. They represent pauses while a trend consolidates and are reliable continuation signals in a strong trend.

    You can read more about this pattern at http://www.stockcharts.com/education/ChartAnalysis/flagPennant.html
     
  3. rahulg77

    rahulg77 Member

    Joined:
    Feb 19, 2006
    Messages:
    355
    Likes Received:
    4
    Trophy Points:
    18
    Dear Traderji,

    Thank you. will study it.

    Regards
    Rahul
     
  4. sudoku1

    sudoku1 Well-Known Member

    Joined:
    Oct 23, 2007
    Messages:
    10,898
    Likes Received:
    17,351
    Trophy Points:
    113
  5. bethgadb

    bethgadb New Member

    Joined:
    Jun 27, 2013
    Messages:
    4
    Likes Received:
    0
    Trophy Points:
    1
    ABB seems to be forming a flag or pennant formation.[​IMG]
     
Loading...

Share This Page