4 Types of Supply and Demand Patterns

Supply and demand patterns are price structures that indicate potential shifts in market trends. Understanding these patterns helps traders identify areas where the balance between buyers and sellers might change. The interaction between supply...

Jaleed Abdullah

March 4, 2024

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Demand and Supply Zone: Definition, Types, Indicators, Examples and How It Works

Supply and demand zones are crucial areas on price charts where significant buying or selling pressure exists. A demand zone is a price level where buyers are likely to step in and absorb any...

Jaleed Abdullah

March 2, 2024

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Ascending Triangle: What is it? How it Works, Characteristics, and How to Trade

The Ascending Triangle is a bullish chart pattern that often appears within existing uptrends, signaling the potential continuation of the upward price movement. This pattern is characterized by a flat, horizontal resistance line and...

Jaleed Abdullah

March 1, 2024

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Descending Triangle: What Is It? Importance, How to Trade, and Benefits

A descending triangle is a bearish chart pattern that typically signals the continuation of an existing downtrend. Visually, it’s characterized by a flat horizontal support line and a downward sloping upper trendline that connects...

Jaleed Abdullah

February 29, 2024

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Symmetrical Triangle: Definition, How It Works, Formation, Trading, and Benefits

A symmetrical triangle is a chart pattern used in technical analysis. It forms when the price of an asset moves within a narrowing range, creating two converging trendlines. Visually, this looks like a triangle,...

Jaleed Abdullah

February 29, 2024

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Double Top Pattern: Definition, Formation, What It Indicates, Parts and Trader’s Thoughts

The double top pattern is a bearish reversal chart pattern that signals a potential shift from an uptrend to a downtrend. Visually, it resembles the letter “M”, with two distinct price peaks at roughly...

Jaleed Abdullah

February 27, 2024

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Rising Wedge Pattern: Definition, Formation, Characteristics, and How to Trade

A rising wedge pattern is a chart formation that often signals an upcoming bearish reversal – the end of an uptrend. Visually, it looks like a wedge angled upwards, created by two converging trendlines....

Jaleed Abdullah

February 21, 2024

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VWAP (Volume Weighted Average Price): Definition, How it Works, Calculation, Trading, and Benefits

The Volume Weighted Average Price (VWAP) serves as a pivotal trading benchmark, aiding investors in scrutinizing stock prices effectively. VWAP essentially answers the question: what is the average price at which a stock traded...

Jaleed Abdullah

February 13, 2024

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Exhaustion Gap: Definition, How to Recognize, Trading and Advantages

An Exhaustion Gap signifies a notable shift in stock demand, occurring after a rapid price rise. It marks the end of a trend, indicating a lack of momentum and often leads to a sharp...

Jaleed Abdullah

February 12, 2024

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Triple top pattern: Definition, Importance, Parts, How It Works, Benefits, Risks, and What Does It Tell?

The triple top pattern, a reversal formation in technical analysis, identifies potential trend changes. It comprises three peaks at the same price level, with pullbacks in between, signaling waning upside momentum and strengthening resistance....

Jaleed Abdullah

February 8, 2024

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