Chart Patterns That Repeat
Replicharts by Zack Hill
Certain chart formations can forecast major trading activity. Take a look.
Answer me this. If we can accept
that established patterns occur
in cloud formations, crowd psychology, and criminal behavior, why canít we also accept
that stock charts have patterns
that repeat with similar reliability? Since stock charts display
the buying and selling of a
crowd, why not assume that reactions to certain events would
be quite predictable, just as they are in our everyday lives?
Hereís an example. My wife and her mother went shopping
one morning recently. They pulled into the parking lot and
immediately noticed two things: First, they saw that the store
hadnít opened yet. Second,they observed that there was
already a crowd waiting for the store to open. This was
unusual, so, curious, they joined the crowd and waited,
sensing something really good must have been advertised
that they werenít aware of. Asking no questions (for fear of
appearing to be out of the loop), the two followed the other
shoppers when the store finally opened, to a big display of a specially marked item. Within 10 minutes, the item had sold
out completely, including the one that my wife bought,
thanks to those patient early shoppers!