When 2 Patterns Line Up, Watch For Explosive Moves Like This
Editor’s Note:
This article was originally posted on 4/16/04.
Brice
What’s better than one
consolidation for explosive moves–how about two patterns lined up together?
Triangles and Slim Jims are two classic consolidation patterns that, when
broken–often produce strong moves. So if you get both of these formations ‘back
to back’, its probably worth your attention.
11:38:19
Intraday Setup Alert
Magal Security (MAGS)
has formed its ‘favorite pattern’…an
intraday symmetrical
triangle. With the stock up 1.29 at 31.40, entries in either direction on a
price break of pattern supports or resistance might be considered for intraday
positions.
The first price break wasn’t as severe as
anticipated, but with the Slim Jim now ‘partnering up’ with the prior
consolidation, I’d expect some
The first price break wasn’t as severe as
anticipated, but with the Slim Jim now ‘partnering up’ with the prior
consolidation, I’d expect a technical friendship that’s ‘moving’ for those
involved.
Chris Tyler