Technically Speaking: Breakouts & Reversals | John McNichol | 4-12-21 | Triangle Breakouts

good afternoon everyone john mcnichol here and welcome to technically speaking breakout and reversals do you get a special treat i have a guest with us today mr scott durfy director from our manager from our workshop some of you may be familiar with them you'll be able to see him momentarily our topic today is going to be looking at triangles so stick around okay hey folks welcome to all of you that are live with us today uh such as uh charles and katsune we got mike c casey scott m.a alfred george tom vijay aaron ricardo and everyone else lakshmi's joined us and we got mr mike falette helping out on the chat but just as important if not more important you can see another smiling face here with us today it's my good friend mr scott durfee scott how you doing today doing good john thanks for having me today hey awesome so scott's going to help us out today on technically speaking uh we're going to test out some technology and get some additional input here yes a pleasant surprise indeed mike so let's go and take care of our disclosures folks and we'll go ahead and we'll get right into it remember options are not suitable for all investors uh as the options trading exposed investors potentially rapid and substantial losses spread straddles other multi-lake option strategies often involve greater more complex risk along with additional uh transaction fees now in order to demonstrate the functionality of the platform we will be looking at actual symbols keeping in mind td ameritrade does not make recommendations return on suitability of any security or strategy for individual traders any investment decision you make in your self-directed account is solely your responsibility now you're encouraged to practice what you learn with tools such as the paper money software which is for educational purposes and successful virtual trading does not guarantee successful investment of actual funds during a later time period as market conditions change continuously as always all investing involves risks including the risk of loss now i was so excited to have mr scott durfee as a guest today i was remiss in putting together my agenda slide so let's go ahead and verbalize that for you today before we'll have scott introduce himself and share some things so what we're going to do today uh is we're going to introduce scott we're going to highlight our technical analysis workshop for those of you that are new to technical analysis and even if you're not we've got some great resources to share with you then we're going to focus kind of a follow up on what we talked about last week last week we talked about scanning for different patterns including triangles we're going to focus on that triangle pattern today by showing some resources as well as going over some actual examples uh to determine price targets possible entries as well as exits and we hope to do a practice trade or two as well so we got that agenda out of the way mr scott durfee want to share a little bit about yourself for the few that do not know you and uh tell us about what's going on tonight hey gang good to be with you uh this is a different format than we're typically used to seeing each other in and if you'll uh excuse it maybe a blunder here and there on my part i think we'll be okay but if there is one i ask your forgiveness in advance hey john thanks for having me on today you know as as john knows and many many of you know myself and a guy by the name of ray kimbrell for the last decade and a half have been taking workshops and teaching classes across the country and in in many times even internationally these types of workshops workshops that contain stuff like this now in these webcasts you get into a lot more detail you know we're going tonight for example we're going to be having a first night of our technical analysis uh class incidentally enough this wasn't planned but this kind of works out this way but we're having that that class it begins tonight now that class is a four night class and each night we talk about something technical analysis one builds on the other and we always have a featured instructor a featured speaker um coincidentally again enough tonight uh your featured instructor instructor the entire week this week will be mr john mcnichol i think john's showing you right there gang on the uh on the website how to go and register for that class tonight uh we're talking about a you know the technical analysis virtual workshop now the reason we're talking about that obviously as we talk about price patterns today and as you talked about various things leading up to that in the weeks coming into this you know you're going to as you go along find that building on those skill sets and that knowledge tends to lend a a lot of experience in a lot of direction i should say perhaps when it comes to trading in the markets so hey john i'm super excited to be here today to talk about what we're going to be talking about i'm going to kick it back to you though awesome just rattle hold too far no because i got a lot to say when it comes to absolutely no that was perfect scott and you know as you were talking i was walking through on on how one can go ahead and register for that uh we push that link on the chat for those of you that are here live uh those who listen to the archive session you can just follow those steps pretty easy to do once again go to the education tab and go ahead and select in-person events and you can see our agenda we're going to start with the basics which we're actually going to have a tie-in uh today because support and resistance uh is what shows and patterns appear when one's able to identify levels of support and resistance and you can see for this workshop day three we'll be specifically talking about some of those said patterns as well as scott mentioned this is a live only event so these are not archived like the webcast sessions so you definitely want to save some time to allocate for that nice thing about it is if you do miss miss a session we do this every month well we have a session every week but usually every class will have if i can get that up every class will have typically available at least every month so you can see some other sessions coming up including mike falette who's on the chat those of you that are involved with options uh you get an opportunity to learn from mr mike fallette on some advanced option strategies coming up all right so uh appreciate uh humor in us on that uh while we're on the education page uh scott another great resource on our subject uh for learning about price patterns is what yeah let me take this for just a second john so gang if you're going to come tonight and even if you're not going to come tonight if you're going to ever have any kind of touchstone when it comes to technical analysis what i'm about to tell you is going to be an extremely important part of that journey for you so pay attention for just a second here what we're going to talk about what i'm talking about is within the education tab so if you go right to where john is and you click education then you want to come over and click on the stocks sub tab that's to the far left under overview once you've done that this is what you'll see now um if we've we've hidden it there it is right there you just click one to the right there is your stocks technical analysis class it's really we could throw the name we could cross the name stocks out it's just a technical analysis class this is as i and the reason i say that gang is because what you're learning here today this week what we're teaching in that class and i've always said this about technical analysis but technical analysis has universal application it doesn't only apply to stocks it applies to options in big ways and it applies to the markets in general and big ways and everything else so coming prepared to the class tonight or just to learn this stuff in general to get the best out of your experience do this online course there's been hours and hours and hours and hours and hours put into the development of these courses over many years john's been extremely influential especially in the development of this class and many others and so uh the the quality of these classes is just absolutely second to nothing out there awesome not just my words i mean that's what the people in the know say absolutely well thanks scott and uh you know not only a reference for uh the technical analysis workshop but for this class and our other technically speaking series throughout the week uh between the technical analysis as well as the trading options course and uh as scott was talking about you know right here under the technicians tool set part of our topic on triangles would be followed up under examples of continuation or reversal patterns we talked about scanning for stocks last week utilizing a patterns tool you know the very simple patterns are going to be uh triangles and rectangles basically simple shapes as children hopefully we probably learned how to apply a long time ago okay so with that uh with that um you know one may be able to identify different styles of these types of triangles and we're gonna highlight a couple of those here for you today one of the nice things about with price patterns is based off of the time frame we may be able to deduce potentially you know how far a stock may move based off of a previous time and a couple of the flavors of can of triangles that we'll be looking at today are symmetrical triangles which are a convergence of what are we talking about a convergence here scott as we're looking at uh highs and lows uh what are we saying the convergence of yeah so what we're looking at gang if you'll notice that top line there is acting as a bit of resistance the bottom line is acting as a bit of support but look what's happening support and resistance are about to converge that's a big word for cross paths okay and as they begin to initiate that crossing of the paths or the convergence that's where we look for a potential breakout i will and there will be many many ways that you know in more advanced fashions that we can you know predict perhaps uh with a certain level of accuracy um the direction that it may break out but we don't know that for sure you know we're just looking for a breakout and then we make decisions from there very good and you know we can see other examples of that support and resistance another idea would be an ascending triangle we have a few examples for you today on this we'll be looking at uh you know and you can kind of get an idea of bias when you look at these examples even though there's no guarantee of which way the price will break uh when you have an example of a symmetrical triangle think of kind of more equal right went between bulls and bears uh whereas an ascending triangle uh if the previous trend is up notice there's kind of more of an upward bias you know ideally the trend is still rising because it's making higher lows but it's kind of being held up a bit by making more equal highs and so an ascending triangle typically may be more of a bullish type of situation because of that previous trend now there's no guarantee it'll do that it can potentially break down and that's what we would call a reversal same thing with a descending triangle you know based off of what the previous trend is doing you know this may be more supportive of a downtrend as it's making lower highs and lower lows but at some point if it's making more equal lows an example of a descending triangle and with that if the price breaks down the idea is possibly a bearish trade to trade that however if prices were to break out of support or correction break out of resistance that would be a sign of a reversal and that's some of the techniques i've shared with you in previous sessions uh with uh the moving average crossover now for those of you that are new uh to this webcast certainly welcome let us know if you are new to this but on top of this live webcast make sure you do go back when you select webcasts and in the archive this session will be recorded and can be accessed at a later time you can go ahead and actually search by instructor so in the archive webcast if i go ahead and look at uh for yours truly john mcnichol you'll see some of the previous sessions and on other classes i teach as well for this class you're looking for technically speaking breakout and reversals you can see last week's session where we talked about price patterns uh tools and scans if you go to the previous week you'll see kind of the a capstone so to speak actually one of the capsules reversal patterns looking at multiple time frames and you can keep going back and i think it was around the middle of the month uh i did an example of uh utilizing uh a crossover method in fact i think it actually went a little bit up here it is on the 15th went right past it using moving averages for breakouts a lot of the examples that scott and i will be taking a look at here uh we're actually referencing some of these moving average crossovers all right so a couple of sessions for you to go back to if you're new or have not already attended that so hey scott let's go ahead and take a look at some patterns shall we can't wait let's do it all right uh let's start off with uh from a broader market perspective here uh i'm going to go ahead and clear out a few things here now you know from a broad market perspective you know the market's been making new highs we can see an example of resistance on the broader market and notice in moving averages here here's a 55 you can see how that moving average is rising so you know what type of pattern uh is this reference in that we discussed uh in the coursework uh just a few minutes ago which type of triangle are we looking at here i know there may be a little lag on the chat there but hopefully you're typing in ascending triangle that's with the horizontal resistance rise and support a bullish continuation uh measuring the distance between you know that pattern between support and resistance some traders may project out a similar move uh notice i've already have a box here representing that previous range so the s p as we start earning season scott looks like it's well on its way uh pretty close to hitting some of those potential targets yeah good to see too you know because as we start looking through uh the way these patterns behave john and every time that you know it gets close to that now gang you know we're not teaching you how to read tea leaves or you know predict the future with you know my new detail accuracy however you know we do hear and people wonder from time to time do these things really work you know but when we see this over and over and over again each time is just a reaffirmation of the power behind these tools very good scott and you know we had talked about the you know the small caps by comparison you know has been struggling you know we'll see if earnings or any other catalyst may come in to whether push it higher or lower but you know even here uh by connecting the dots so to speak and i just kind of highlighted in gold some of these previous highs you know we're seeing declining highs but we're also seeing some rising lows and this may be a little bit equal but i'm just basing off the trend you know you can see an example of again another triangle now this triangle by comparison to the s p which was more bullish with the ascending this triangle notice it's more convergent we're seeing more of a neutral type of uh view on this index and that you know kind of goes as price action may end up going more sideways uh pointing that out on this chart any comments on that scott yeah you know either sideways or may have a move but i wouldn't you know i wouldn't expect that move to carry the kind of momentum the same one with the more definitive coming into the convergence part of that yeah for sure absolutely awesome okay so uh we do got a few stocks uh to look at uh let's start off with uh let's take a look at akam uh akamai and you know we'll zoom on in on this now you know this is a stock as a lot of growth stocks have struggled uh uh you know over a more recent period with a lot of the yields there some of the stocks have bounced back pretty strongly akamai's kind of struggled a bit uh you know if we go back and i try and zoom out on this a little bit of a little technical difficulty here my computer's trying to catch up you know from a longer term you know price had traded down some longer term support you know we can kind of see the higher range and you know price actions you know kind of getting back to that mid-range some traders may make assumptions that prices may look to continue you know to trade up in that longer term range now if we go ahead and zoom in a bit closer let's take a look at a a three-month chart maybe if they even have to go a little bit closer now the one of the reasons why this came up again getting back to the moving average crossovers that were discussed middle of last month you know we're seeing price these moving averages cross back above kind of an intermediate moving average in this case a 55. we can see that price went ahead and broke above resistance uh previous resistance and you know this would be a sign of a possible reversal pattern that we discuss in the course and the workshop now once the price has broken out and we are above the moving average this one's a little bit smaller but notice if i go ahead and take a drawing tool and just put on a price level over these recent periods we can see that the price is trading up to that horizontal resistance uh we can also see that if i take a diagonal line and let's go ahead and you know kind of follow the price from the lows and i'm just kind of going off some of these moving averages you can see the semblance of that ascending triangle we're seeing higher lows but more equal highs the trader may be looking for a breakout above this pattern here okay uh any comments on this uh scott yeah and when we and when a trader or investor were to see a uh a breakout above that that could signal an opportunity to enter a trade um you know we'll show you some examples of how to you know do that as we go along here but that's that's when these types of things become actual uh actionable items for us yeah in fact i think we'll we'll actually do one right now now keep in mind folks uh you know there is an earnings event that is coming out uh later this month you know some traders you know may be reluctant you know to hold a trade through earnings uh but you know if if they're anticipating that you know akamai's kind of turning some things around uh going this event obviously they didn't last earnings uh but you know one may want to go back and you know look at their history there uh but if if i wanted to do a practice trade one way of doing this is what we would call a buy stop a buy stop is when you want to get into a trade typically a lot of you're familiar with limit orders where you're going to specify hey i want to buy it at a certain price or better in a buy stop you're actually looking to enter at a higher price trying to capture that momentum as it breaks higher and therefore you're actually technically buying at a worse price a higher price so we can actually set this up by right clicking on the chart and i'm going to go ahead and do a buy custom with stop now some traders may use a bracket where they may set a target price which we can do as we evaluate the stock but let's say you know someone's looking for the stock to reverse and possibly continue trending at the very least we want to assess some risk whether uh allocation or in this example we can utilize a stop loss order if the price breaks out and let's say fades so in setting that up what i'm going to do is i'm going to look at the basically the highest point of this resistance and you can go ahead and look at each of these uh price levels here we got 104 53 i'm looking at these highs here 104 64.

that's a little bit higher today's high was 104.71 um so let's say i'll go off of today's high um now it's still intraday prices may trigger and go higher uh but the idea is on a following day if the price breaks higher to enter into that so i'm going to go ahead and put it 20 cents higher than today's high so 104.71 that would be 104.91 i'm going to make this 104. now before i do that notice it says limit here i need to change this to a stop or a stop limit now for an entry i'm going to make this a stop limit we're also going to change the time and force to gtc good till cancel this would be a common technique for an ascending triangle since the entry point is horizontal so it doesn't matter if it happens tomorrow the next day the following day when the price breaks through is looking to capture that momentum all right so with that hey john it might sorry to jump in on you here but it might be worth noting that gang if you do put that in and it doesn't get filled it just sits there there's no penalty to you there's no risk as far as that particular one goes i guess there is risk the risk is is that you let it go and then it gets filled later without you knowing why so you know but but it wouldn't it wouldn't stay on there that long but uh just know that that's a that's a that's easily managed that's that's a good point so yeah make note of that as far as managing that trade so again the trigger price was about 20 cents above 104.71 so i'm going to go ahead and put

in 104.91 okay uh we'll hit enter now notice there's a second price the second price is the other part of the trade this is why it's called a stop limit it's two parts uh the stop is the trigger price we're saying that if the price goes and hits that level we want to enter into the trade well what type of order are you using to enter well it's going to be a limit order hence why it's called stop limit so now the second price needs to be the most you're willing to pay for the stock now this is good to explore for uh entries because there is what's called gaap risk you know if there's some news event or something and the stop goes ahead and gaps let's say as an example if this was a stop market and let's say the price went ahead and gapped up to 106 or 107 it would basically fill at the market price well maybe you don't want to pay that much for the stock hence that's where the second price is which is a limit so i just went ahead and paste put this about 20 cents above that level okay so that will take care of the entry order now we still have the exit as far as if the trade goes against us for this example i'm also going to make this a gtc we want that order to continue working i'm going to go ahead and minimize this so we look at the chart again and there we go now one technique is to set a stop that's a percentage uh below that breakout point um you know one example we've used is three percent below that breakout point now their traders may position size and you look at a moving average like here's a 55 day moving average maybe we're willing to set a stop a little bit below there um and let's go ahead and calculate a three percent and see what that ends up being uh so i'm going to do it based off of 104.50 even though that's not the highest point that's kind of more of that resistance point giving us a little bit of a buffer there i'm gonna go to our calculator and we'll do 104 and we're going to multiply that by .97 that'll give us a stop that's three percent below that breakout point and that's 101.36 and if i go ahead and i'll take a

horizontal line we'll go ahead and plot that around 10 136 and notice that as i'm doing approximately that that's putting us you know below that 55 day moving average so you know we're at least putting in a stop that's outside of this range initial stop should be outside of that normal range so you're not you know whipsawed out of the trade okay so i'll go ahead and i'll modify that to 101 36 there we go and so with this example folks this can be uh a type of a trade template you know that one may consider uh to enter into a stock or position if the price is actually breaking that resistance now some traders may actually wait for it to break and then put in an order manually uh but the idea being is uh you don't know how long that breakout may be and so there's pros and cons if one's able to capture that momentum trying to think of some recent ones uh you know like here's federal express that actually broke out earlier today um it's up about five dollars well if you wait until the end of the day you know we're looking at closer around 291. earlier it was trading at 2 86 so let's say an entry would have been at 289 well we're already up about 2.62 so that's the idea on trying to capture that momentum all right so we'll go ahead and we'll put this through and you know we'll see if that uh trips and we'll follow up with that on another session send that through now what we're going to do with the rest of our time is look at some other examples uh may not necessarily place a a practice trade but show you what other setups are and you're encouraged to practice on paper money with possibly a type of order that we shared with you today um so hey which one you want to take a look at scott anything uh let's look at how about nioh and io kind of tesla's little cousin so neo is uh and this is one of the nice sources here on uh thinkorswim scott is if uh if we're on thinkorswim we can go the analyze tab and you know there's a fundamentals page and if you're not familiar with the company you can learn more about it um not as much analyst coverage uh on it but uh let's go ahead and uh take a look at that chart up now i already kind of lit the cat out of the bag looks like a perfectly drawn triangle to me uh scott you think uh maybe uh great might think alike that's all i'm going to say there you go that's that's all i'm going to say so so let's so let's say we're new to technical analysis scott and uh you know we're we're not as a you know other people are not as great-minded or or not as great-minded as we in our own minds think we are uh how can how can we how could we maybe help kind of a helper to identify support and resistance uh with this yeah so first off let me let me first off let me acknowledge the nice safe right yes yeah yeah um so gang uh support and resistance you know this until one becomes just a little bit too comfortable with it it can it seems to be and i don't know why but it seems to be like it can to me like it can cause some confusion but if we just remember a couple things supports the floor and resistance the ceiling and the ceiling can become the floor and the floor can become the ceiling that's that's important but there's a tool and there's a all you got to do is remember the word william fractal williams fractal and john's going to show us where to go you go right to where his pink circle is right there and just click on patterns once that's clicked just go in and find the uh yeah click on just follow us here's a stroke so click on show patterns right there and then we'll do selections select patterns we're going to click that and now what we're going to do is we're going to go into the candlestick tab just click on that right there we just circled the peak and then in that we're going to just do a search just to make it quick w-i-l-l just remember willie and uh on the road again right and we're going to click uh williams fractal right there now watch what this does so he's going to click on that it's going to go in always always hit apply then okay what's happened is you will see little dots as highs and lows and these are these don't come in immediately they take a day or two depending on how it's set up to to come in but they help identify those highs and lows and when we are identifying levels of support and resistance that's exactly what we're identifying is common highs and common lows or we're drawing lines behind between highs and lows to develop those support and resistance lines and that's all we've done on this uh nio example right as you can see there you know we have a triangle that's kind of converging absolutely and so you know and and then notice since it's more of an equal triangle that bias you know would be more equal at least over this period uh now granted the trend you know is down you know based off of looking at that 55 period so if if one was more inclined to being bearish they may look for a bearish trade you know maybe it's an option trade uh to trade down now if they're more bullish you know looking for you know the evs to kind of come back in after getting hit over this last month um they may look for a breakout of that resistance and you know one can you know do uh whether a a buy stop as we had done that example now keep in mind a stop is not guaranteed to fill out a specific price once filled it'll compete against other market orders in the case of a stop limit it would have to be a marketable order for it to get filled but you know one can do that now i saw in the comments you know we didn't set a target on akam because we're looking at it as an aspect of a trend trade but if you wanted to determine a target based off of that a great way of doing that as i've shared in the past is if we go to drawing tools we go that drawing tool and find a rectangle and you can draw a triangle over that pattern you know incorporating the high and the low in that pattern that support and resistance now i was a little more conservative and looking at this area versus going to the extreme uh that's kind of a personal decision your results may vary uh but john i would agree with that decision because that's an outlier i mean and that and had that not have been a wick on that candlestick that may carry more with me as well so i see that one as an outlier with you 100 okay and then as you can see uh and you can do this either way you know that would be an upside target you know if i right click um and do a duplicate you know i can move this down if the price was to break down uh where that potential target may be and uh you know at least previous highs you know you can see how that kind of coincides to before when neo had broken down uh below that 55 day moving average looking to possibly retest that if it was to break higher it was to break lower uh you know we have to go back a little bit further you know may look for you know some previous price levels you know that the stock may have broken out before in this case back to last october um you know i i guess probably would be remiss if we didn't mention something like tesla you know which is the big eevee one um and notice as we look at tesla scott um you know kind of more of what we call a double bottom right that we've discussed in this class still hasn't quite broken out now this ain't triangles here but you can see the characteristics where we have a horizontal resistance and we're seeing that support begin to rise going into that resistance this is just a smaller triangle in a much larger pattern and you know there were some upgrades you know looking tesla going up to a thousand ag you know there's no guarantees that that will occur but for a technical idea is that traders are looking for the break outside of that range and if we did the same thing here i can draw that rectangle and draw between some fibs here which any fibonacci fans uh tesla did hold their fibs there may be another topic for another day and if we project out you know notice uh that potential target it would go back into the range where tesla was before you know the bit of the yield scare i guess so to speak right all right so there we go and you know keep in mind you know we are in the middle of earnings so that is a consideration um so make sure you do your due diligence on on any trade uh what else we got so i'll leave the william fractals on there and let's go through a couple other examples as far as patterns that uh you're looking at um let's look at uh mosaic mos let's look at mls yeah yeah so when me and uh scott had talked us up these are all examples of stocks you know kind of run the gamut you know there there's technology stocks which have been beaten down and a lot have been trying to rapidly recover there's other areas that are in the uh this is a more material stock and again you know i already had some lines drawn but notice that they coincided with those williams fractal so just like my uh five-year-old granddaughter can connect the dots i think scott and i can manage it and probably you guys too and gals uh all we're doing is just connecting that and notice if you go back and look at some of the webcasts on the moving average crossovers this is how some of these have came up you know starting to see some of these crossovers mosaic looks like intraday may be breaking through that triangle and so a trader may be looking for an entry uh measure the distance between that support and resistance in this case uh would be you know targeting at least a previous high um and you know and then setting if they wish to set a stop accordingly you know we use an example about three percent below the breakout okay uh let's see uh uh getting into the materials kind of the hot materials uh scott and uh i'm being a little facetious um ccj uh uranium miner there's a lot of talk as far as infrastructure uh and you know trying to go more clean uh that uh you know nuclear may have a another space and and so we look we can see another similar pattern here right folks um just connecting the dots any comments you have on this one scott yeah so if you can play connect the dots apparently john you're telling me that i should be able to identify support and resistance it looks like it's just about that easy there you go all right and you know it's a trending stock uh you know some traders you know they see here we you know have candles such as more hammering patterns you know off the 55 day you know they may look for a bounce and anticipate that price may break out now there's pros and cons with that if price fails to break higher may fade and may break down you know so there's pros and cons depending on what type of entry that you look at and i kind of went a little bit uh deeper on some uh other ones there i wrote a few others some of the other ones q-con uh there's a there's one or two uh underneath that one i think i written down understand the iav yeah that's another one this is actually a tech one let's go and bring that up and this is another one uh if i go to this is the avi solutions if i go to analyze tab um analysts aren't hot on it right now but that usually happens when prices are battered down sometimes some upgrades may come back in looks like they're on the testing and monitoring side for security and again kind of a similar pattern looking at the all in support or correction fallen resistance rising support and price is attempting to break out forming that reversal again kind of measuring the distance between support and resistance okay so for those of you who are going to be joining us in the technical analysis uh this week the virtual workshop in the evening 7 30 p.m eastern time pay attention to those types of candlesticks that you tend to see a lot of as we see our support lines being drawn you've seen a couple examples there but especially in the last couple you're seeing those those uh hammer candlesticks we'll get into what that means and how those uh come into the messaging from your technical analysis in quite a bit of detail this week yeah very good i appreciate that scott and i think the other things that the little bird told me uh uec uh uranium energy uh you know another one now you know notice that this one here um sometimes they may be more almost rectangular uh in a formation which is fine they they serve the same purpose you know looking for a break in resistance in this case you know kind of a rise in support again connecting the dots now notice here on the williams fractal as scott had mentioned these are not real time so even though this technically is potentially another low it's not going to be confirmed until price actually reverses so this fractal would probably lag at least a period or two but it's helpful to go back and look at those areas of support and resistance um so you know another kind of uranium miner and i think the third one on that was uh uh urg yep i had a little technical difficulty on uh my printout here and then again let's connect the dots um i kind of connecting off of these fractals and then you can see the moving average is already kind of a guide there and you can see that rise and support the bullish case is looking for a break through that resistance a bearish case is a breakdown now as far as a bearish case on a one dollar stock uh i think that could be a defined risk uh right sky you know that's one thing with cheaper stocks yeah even though that there's you know much more speculation uh almost price like an example of an option right the most you can lose is what you put up on that trade again not a recommendation for any security folks but just want to kind of highlight uh some of these examples that we have here for triangles and that was our focus for today again how we came up with them a lot of these were via the moving average crossover script that we've shared with you in the past again if you go back and look at the archive session i believe it was march 15th or 16th yeah it was march 15th yep yep that's when i went over this and so you're welcome to do that you're also welcome to follow on twitter which is actually where i have a lot of that stuff posted as well at j mcnichol underscore tda that is actually on a pin tweet here and you can see all the different uh script that we share again not a recommendation or endorsement of any particular investment or investment strategy uh so i think we've covered or met our objectives again i have to verbalize our objective since i forgot to bring up our an agenda slide so our point today was to be able to kind of introduce you to our workshop for technical analysis and some of those resources for you and also we focused on triangle patterns today being able to identify patterns uh and helping you kind of connect the dots with tools such as the williams fractal and utilizing things such as a moving average crossover discussed in a previous session to help find those patterns now again this session is archived so you'll be able to review that at a later time the workshops are not archived that's a live only kind of simulate the actual live environment where scott and ray where hopefully they get an opportunity to travel around the country again and and me and and mike fullette and a few other instructors like james boyd will have an opportunity to follow up with him on that um so hopefully you learned something new consider practicing what you learn here today by possibly doing a buy stop type order on your paper money um scott any final thoughts for us today john thanks so much for letting me have uh be here as you know john technical analysis kind of my love when it comes to stuff in the market and uh because of that i just want to share with everybody i know so gang uh be there tonight if you can they are not archived but we repeat them frequently and and remember remember this that even this and that are just extensions of the online education the online course so go do the online course come prepared tonight we'll see you tonight john thanks so much for having me here hey scott it's a pleasure it's great to do uh spend some time with you today talk about price patterns uh thanks to mike fallet for helping out on the chat and providing some resources and answering those questions and most importantly thanks to all of you for joining us live and listening to the archive session and remember in order to demonstrate the functionality of the platform we did have to use actual symbols keeping in mind td ameritrade does not make recommendations or determine suitability of any security or strategy through the use of our tools any investment decision you make in your self-directed account is solely your responsibility so scott thanks a lot mike everyone else have a wonderful day we'll talk to you again real soon bye now you

2021-04-19 16:59

Other news