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Western technical analysis

Inverse head and shoulders, double bottom are couple of many western technical patterns.

Trading with Multiple Techniques: Candlesticks & Trend lines

In our last post we concluded our basic overview of Japanese Candlestick Charting with an explanation of the doji. Now let`s try to combine the Japanese approach with Western Technical Analysis methods. Support and Resistance Lines with Candlesticks One method of determining a trend is by using the most basic tool, the trendline. The first […]

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Continuation Patterns in Western Technical Analysis

Continuation patterns take a shorter time to build Many continuation patterns imply a time of rest before the market resumes its prior trend. In other words, these patterns indicate that the sideways price movement on the chart is just a pause in the prior trend and the next movement will be the continuation of the […]

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The Significance of the Number 3 in Technical Analysis

It is remarkable how often the number 3 shows up in technical analysis In many trading approaches, it plays such an important role. For example: some of the more commonly known reversal patterns, such as the triple top and the head and shoulders (see further), have 3 prominent peaks there are 3 different classifications of […]

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