In the following discussion I will try to describe that common thread by breaking chart patterns into generic components and examining each in turn before assembling them into a single model.

By Daniel L. Chesler, CMT, CTA

www.charttricks.com

Summary:

• Introduction

• Approach and Price Chart Primer

• Classical Chart Pattern Evolution

• Classical Chart Pattern Basic

• Role of Classical Chart Patterns

• Strenghts and Weaknesses of Chart Patterns

• The Volatility Component

• Screening Examples

• Final Thoughts

• Thanks and References

• Books: Chart Pattern