Indices Charts Analysis of Indices Chart Setups
Indices Patterns - Indices Technical Analysis Stock Indices Chart Patterns Indices Trading StrategiesStock indices chart patterns are graphical representations of repeating stock indices trading price action patterns that are commonly used in the stock indices trading market.
Indices Chart Patterns is one of the studies used in stock indices technical analysis to help indices traders learn how to identify these repeating Stock Indices Chart Patterns formations.
These Stock Indices Chart Patterns are important in indices trade because when the stock indices trading market is not moving in a specific direction it is forming a stock indices chart pattern. It is important to know these Stock Indices Chart Patterns formations so as to have an idea of what might be the next move in the stock indices trading market.
When stock indices trading price movements are drawn there are several Stock Indices Chart Patterns formations that occur naturally & repeat themselves over & over again. These Stock Indices Chart Patterns formations are used by a lot of stock indices trade technical traders to predict the next stock indices market move.
Traders often study these Stock Indices Chart Patterns formations to gauge supply & demand forces that form the basis for stock indices trading price fluctuations.
These Stock Indices Patterns are classified into Three different categories:
1. Reversal Trading Setups
- Double tops Indices Chart Setups
- Double bottom Indices Chart Setups
- Head & shoulders Indices Chart Setups
- Reverse head & shoulders Indices Chart Setups
2. Continuation Trading Setups
- Ascending triangle Indices Chart Setups
- Descending triangle Indices Chart Setups
- Bull flag/pennant Indices Chart Setups
- Bear flag/pennant Indices Chart Setups
3. Bilateral
- Symmetric triangle - Consolidation Patterns
- Rectangle - Range Indices Chart Setups
Reversal patterns - Indices Chart Setups - confirm the reversal of the stock indices trading market indices trend once this reversal stock indices chart pattern setup is confirmed. These Reversal Stock Indices Chart Patterns are formed after extended stock indices market indices trend either upwards or downward & these reversal indices patterns signal that the stock indices trading market is ready to reverse.
Continuation patterns Indices Chart Setups - are formations that set up the stock indices trading market for a indices trend continuation move in the direction of the prior Indices trend. These Continuation Stock Indices Chart Patterns are formed when the stock indices trading market is taking a pause before continuing in same direction of the previous Indices trend.
Consolidation patterns Indices Chart Setups - form when the stock indices trading market is taking a break before deciding which is next direction to take. When these Consolidation Stock Indices Chart Patterns are formed - the stock indices trading market is trying to decide which direction to trade.
Technical Indices Chart Analysis of Indices Chart Setups
There are two types of stock index chart analysis, these two might seem similar but are not: the two are:
- Japanese Candlesticks Patterns - Study of a single candlestick - Read Japanese Candlesticks Patterns
- Study of a series of indices candlesticks formations
(This learn indices trading tutorial is about the second option above - Indices Chart Patterns)
The different topics for these two types stock indices trading analysis are:
Japanese Indices Candlesticks
Indices Chart Setups Lessons
The examples below also illustrate the difference of the arrangements of these two stock indices technical analysis methods.
Candles Patterns - Study of a single candle
Study of a series of indices candles