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Market Dynamics Learn Relative Strength Point & Figure Charting

The Spirit of Technical Analysis

Chart construction and layout

Region of Excess Return

Region of serious under-performance

Extreme volatility - Shortest time period

Analysis of trends

Triple top buy signal

Triple bottom sell signal

45 degree lines- Bullish

High performance bullish support lines Example 1-2

High performance bullish support lines Example 3-4

High performance bullish support lines Example 5-6

High performance bullish support lines Example 7-8

High performance bullish support lines Example 9-10

Support and resistance

Resistance below the bearish resistance line

Trading ranges

Channels

Major long-term trends Example 1-2

Major long-term trends Example 3-4

Major long-term trends Example 5

Major long-term uptrends Example 1-2

Major long-term uptrends Example 3-4

Major long-term uptrends Example 5

Major long-term down-trends

Natural trendlines

Major reversal patterns

Major bases

Breakouts Example 1-2

Breakouts Example 3-4

Breakouts Example 5-6

Breakouts Example 7

Some thoughts about how the market works

Theory of Runs

Some thoughts about portfolio management

Relative strength study - real time - uptrends and downtrend lists published by WCA in 1999

Learn Relative Strength Point & Figure Charting

Resistance below the bearish resistance line

This example shows a rally back up into an historic resistance level that was also below the 45-degree bearish resistance line. The combination of the two resistance levels turned the stock down and the relative strength broke sharply.

By W. Clay Allen CFA

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