New Intermed Uptrend!!

[Traderji]

Hi Saint. Very informative posts. I would appreciate if you could copy and past your posts on reversal patterns under a new thread in the "Technical Analysis" forum. Great learning lesson for all.

 

[Dhanya]

Thanks a million,Saint.Great posts,great education.

Thanks again!!!

Dhanya

 

[coljaspal]

Dear Saint,
Thanks for the education. Very nicely explained, making a difficult subject so very simple.....
Jaspal

 

[avinash]

Hi Saint,

Was great re-reading them,especially good to have them all in one page.

Thanks.

Avinash

 

[caprice]

Hi Saint..

I think.. as I said to Amit.. still speechless... Wonderous effort by the seniors to make the Stock and Money Market easy for newbies..

Hats off...

very much Thanks

Nishant

 

[Saint]

Originally Posted by Dhanya
Hi Saint,

I was going through all your articles in this thread,especially the ones where you talk on the various patterns.Excellent.Please also,if you find the time,please explain regarding gaps.

Thx in advance

Dhanya

GAPS

--Gaps are nothing but areas in a chart where no trading has taken place.
--When the price opens much above the previous day's high or much below the previous day's low,we have a gap open(either up or down).
--They are more visible and potent if they are not immediately filled that day.

--There are 3 types of gaps:

1.Breakaway Gap
2.Runaway Gap
3.Exhaustion Gap

1.BREAKAWAY GAP:

--usually signals the beginning of a new move,be it up or down.
--also usually accompanied by heavy volume.
--basically a gap up or down opening that does not get filled that day or the next few days.
--more potent if after long basing pattern.
--If the gap gets filled,then this comes under false breakout or breakdown.

2.RUNAWAY GAP:

--This type of gap happens in the middle of a move.
--A gap up in the middle of an uptrend is a sign of market strength.
--A gap down in the middle of a downtrend is a sign of market weakness.
--Like the breakaway gap, a runaway gap getting filled and prices trading below the gap is a negative sign.
--sometimes called as measuring gap.
--usually happens in the middle of an uptrend,so traders use that to measure target points.

3.EXHAUSTION GAP:

--This gap ends the move.
--If a particular stock pattern presents many gaps,and the latest gap has prices gapping up and then filling the gap,and trading lower than the gap area,.........that's an exhaustion gap.

Shall discuss on trading strategies using gaps later.

All the best!!
Happy Trading!!
Saint

 

[Saint]

Thank you Traderji,Karthik,Roneeth,Nishanth,Jaspal,Avinash,Alok and Dhanya for your kind words and warm remarks........

Saint

 

[Saint]

Hi Saint. Very informative posts. I would appreciate if you could copy and past your posts on reversal patterns under a new thread in the "Technical Analysis" forum. Great learning lesson for all.

Shall do as advised.

Saint

 

[jaideep]

Hi Saint. Very informative posts. I would appreciate if you could copy and past your posts on reversal patterns under a new thread in the "Technical Analysis" forum. Great learning lesson for all.

Great education Doc. Thanks as is always due to you. As Traderji says, would be nice if you could paste these posts in the Tech.Analysis section. That will bring your great educative effort into focus & in proper perspective....easy to find later is also what I mean.

 

[Saint]

Great education Doc. Thanks as is always due to you. As Traderji says, would be nice if you could paste these posts in the Tech.Analysis section. That will bring your great educative effort into focus & in proper perspective....easy to find later is also what I mean.

Hi Jaideep,

Yep,shall do..........and thanx as always for your kind words,my friend

Saint