Topic: Working Bearish Continuation Patterns with real chart data
Objective: 2nd video in the library
Focus: 1st effort into new resistance creates reverse ...when does it become a bear trend?
Challenge…Piece material video #1 and video #2 together to create the larger picture of market structure.
Big Bull Push to continue trend ~ wall of resistance reverse ~ bear continue trend ~ Base of support reverse ~ bull resume trend…'process flow of market structure'.
- Clean screenshot of the chart used in presentation with basic references.
- Background price action video #2 - bull trend, reverse, bear trend, reverse, & the ‘rest of the story’.
Please review the following basic information on continuation patterns as a group and why building on your ability to review price action in various patterns & with different areas of focus increases your learning curve effort & 'stacks your deck'.
Continuation patterns indicate a pause in trend & that the previous direction of the trend will be resumed after the consolidation. The reasons for both continuation patterns & reversal patterns are that the trend, whether it is up or down, cannot continue in the direction in which it is travelling forever. There has to be either a pause in time & in price or a change in price action direction. Visually price action 'creates' chart patterns in different forms or shapes. Learn to correctly identify; & then follow the structural guidelines they offer, & these patterns will subsequently help you to become a successful trader.
The basics of doing any chart analysis are that we know that history repeats itself. Chart patterns take time to form. Reviewing charts allows us to choose an instrument & focus our study on the previous process involved in creating a price Trend as well as what it takes to Reverse or 'turn a trend'. This background research with the anticipation of patterns repeating offers traders confidence. For any trader, trading any instrument, it is highly recommended to do your due diligence & Focus attention on the price history of your chosen instrument.
Bullish/Bearish Continuation patterns as a group offers many trades in any time frame using any instrument and in any market. Their versatility and repetition offers the focused trader many profitable opportunities regardless of trading style. This video is meant to be a starting tool for traders looking to learn how to identify and work bullish/bearish continuation price action using real chart data. For this reason additional videos will be added periodically to this topic to assist traders in an on-going effort in 'putting it all together'.