My charts (and yours too........)

[Romeo and Elliott]

Looks like a wave1, done a 23.6 retracment, testing 23.6.

Target should be the parallel line / 161 projection. SL should be below the low of the lowest closing body (yesterdays i think).

If the 23.6 test fails, it could go back down to 61.8 / 100 retracement.

 

[babukraman]

Also looks like a ascending triangle.

ANDHRABANK

Looks like a rising wedge to me:thumb:
And some basic info. about rising wedge from "Trade the chart patterns" by Suri Duddella. I thank the author for the details
"Rising wedges" are usually bearish in both uptrend and downtrend markets. In addition, they
have a high failure rate and are relatively difficult to spot them. They seem to work well in
bullish markets.
Trade:
"Rising wedges" are defined by the trend lines connecting the highs and lows of the pattern.
The price trading outside the lower trend line signals a potential short trade. A "short" trade is
entered when the prices close below the breakdown's bars low (must be below the trendline).
Target:
After trade entry, a target is set at the lowest point in the wedge formation. Another target
measure would be the length of "wedge" pattern from the breakdown level.
Stop:
Place a "stop" order above the last "swing high" of the "wedge" pattern.

 

[option fan]

excellent thread !

this is what traderji forums is a best learning forum i have found till now.
i would like to tell .. i was reading traderji msges simce say 1-1/2 yrs and amazingly improved my own TA skills with the help of the posts by seniors on this forum.

thanks traderji !

 

[babukraman]

excellent thread !

this is what traderji forums is a best learning forum i have found till now.
i would like to tell .. i was reading traderji msges simce say 1-1/2 yrs and amazingly improved my own TA skills with the help of the posts by seniors on this forum.

thanks traderji !

:thumb: Thanks for your feedback, option fan! As I've mentioned in the very first post of this thread, this thread is just a small gesture from me to share some of the knowledge I've gained (from this and other forums) with this forum members. Even though, these charts may not be an expert level recos, these may be of academic interest to the newbies of TA.
Cheers!
Babu Kothandaraman
At this time, I also thank all the other members participating in this thread!

 

[Romeo and Elliott]

excellent thread !

this is what traderji forums is a best learning forum i have found till now.
i would like to tell .. i was reading traderji msges simce say 1-1/2 yrs and amazingly improved my own TA skills with the help of the posts by seniors on this forum.

thanks traderji !

I second that and thank Babu again for starting the thread (and for an appropriate title that got me here)

 

[Romeo and Elliott]

Looks like a rising wedge to me:thumb:
And some basic info. about rising wedge from "Trade the chart patterns" by Suri Duddella. I thank the author for the details
"Rising wedges" are usually bearish in both uptrend and downtrend markets. In addition, they
have a high failure rate and are relatively difficult to spot them. They seem to work well in
bullish markets.
Trade:
"Rising wedges" are defined by the trend lines connecting the highs and lows of the pattern.
The price trading outside the lower trend line signals a potential short trade. A "short" trade is
entered when the prices close below the breakdown's bars low (must be below the trendline).
Target:
After trade entry, a target is set at the lowest point in the wedge formation. Another target
measure would be the length of "wedge" pattern from the breakdown level.
Stop:
Place a "stop" order above the last "swing high" of the "wedge" pattern.

Thanks for your inputs, Babu, but kindly also note the following :

With all due respect to Suri Duddella and some other authors, i think they should explain WHY something happens, rather
than just trying to tell us to trade 'patterns' i think giving the underlying philosophy would help traders a LOT.

>>"Rising wedges" are usually bearish in both uptrend and downtrend markets
= when a 5 wave set forms as a rising wedge it is bearish, cuz a correction is to come in (kindly see attached ambujacement chart)

>>. In addition, they
have a high failure rate and are relatively difficult to spot them. They seem to work well in
bullish markets.
= In bullish markets your impulses to the upside (rising) are well defined

Trade:
>>"Rising wedges" are defined by the trend lines connecting the highs and lows of the pattern.
= When your trendline form boundries of your 5 rising waves


So in contex of a Rising Wedge (supposed to be bearish) this would be a pattern "Failure", i presume, given that the price closed above the stop-loss as suggested (high of the last swing)


However i believe there are no pattern failures - EVER!!
Let me explain.
==============

This might seem like a rising wedge bearish failure, but.. this wasnt a rising wedge as far as im concerned because the "price action" and "Philosophy" required for a rising wedge did *not* apply here.

The chart clearly shows what the price is trying to do !!! and shows a clear impulse structure on the last three waves.

The importance of understanding price-action cannot be stressed enough.

As far as "patterns" are concerned they are meant to be a guide for the 'easy trader' ..... if you see this - do this, same goes for indicators in my opinon.

Charts tell their story, we just need to listen.


Another instance, the inverted head and shoulders in previous charts, LT was shown to have a HnS failure, we must remember that its always impulse waves which are burdned with the responsibility of breaking trendlines, not corrective waves, so the saild HnS was not an HnS in the "Spirit" of the pattern.

For reasons mentioned above :

This was a rising wedge to be traded short [AMBUJACEMENT early 2010] :

This was never a rising wedge (the last 4 waves started a new impulse, there was never a 5 wave impulse pattern bounded by trendlines)
[Last candle has O,H,L and LTP as EOD is not updated yet, but close price would be above the stoploss of anyone who went short on this, mistaking it for a rising wedge]

 

[babukraman]

The chart clearly shows what the price is trying to do !!! and shows a clear impulse structure on the last three waves.

The importance of understanding price-action cannot be stressed enough.

As far as "patterns" are concerned they are meant to be a guide for the 'easy trader' ..... if you see this - do this, same goes for indicators in my opinon.

Charts tell their story, we just need to listen.

Wow! fantastic explanations! Thanks RnE :clap: :thumb: :clapping: :clap:

 

[anayash]

hi babukraman,

thanks for keeping this thread alive!! i am trying to learn different chart patterns with the help of your posts!!

cheers! :thumb:

 

[babukraman]

hi babukraman,

thanks for keeping this thread alive!! i am trying to learn different chart patterns with the help of your posts!!

cheers! :thumb:

Thanks for your kind words! :thumb: While learning from my and others' views, please try to give your feedback on these charts as I can also learn from your stand point of view.
Cheers!
Babu Kothandaraman

 

[option fan]

How will u interprete this one..

NICKEL- hrly till now..

is it a falling wedge or descending triangle??

http://img708.imageshack.us/img708/1968/65969447.png