STOCK TRADING

The comprehensive guide

Presented by

THEY
WILL
INVEST

Designed for anyone wishing to learn more

about the stock market
Your journey to financial freedom begins now...

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 This comprehensive guide will help you
understand the stock market. Even if you are a
complete beginner, this book will guide you
through a structured education. That being
said, advanced traders won't waste their time
reading this guide. A great trader / investor
never stops learning.

Knowledge is power... THEY

WILL
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CONTENTS
Disclaimer 1
Introducing Stock Trading 2
Candlestick Charts 4
Chart Time Frames 5
Support And Resistance 8
How To Scan Stocks 10
Range Trading 15
Reversal Trading 21
Breakout Trading 27
Indicators 33
Trading With The Volume 34
Trading With Moving Averages 35
Trading With The RSI 40
Trading With The MACD 42
Fake Breakouts 44
The Partial Sell Strategy 45
What Is Panic Sell? 46
Advanced Patterns 48
DISCLAIMER
Copyright © 2021 by They Will Invest

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1
INTRODUCING
STOCK TRADING
While investing is usually a longer process mixed with compound interests
to grow your wealth, stock trading aim to profit from the market by taking
advantage of the movements over a shorter period of time.

Trading stocks can vary in three different styles:

Scalping would be the first type of trading style. When scalping a stock,
traders hold their shares during a couple of seconds or minutes. The daily
profit goal would be as low as 1% of your capital.

Day trading would fit in the second type of trading style. Traders usually hold
their shares during a couple of minutes or hours. However, their position
will be sold by the end of the day. Their daily profit goal would be higher
than a scalper, 3% - 5% of their capital.

Finally, swing trading is the third style. Swing traders will hold shares of a
stock during days or even weeks. Obviously, the daily goal is a higher
percentage than the other strategies mentioned above. A 10% daily profit
would be reasonable when you're using this strategy.
2
Three aspects before you start thinking putting
money into stock trading:
You must have a stable source of income that will provide you financial
security. Don't trade and expect to get rich quick, trade to acquire another
source of income with money you can afford to lose. Risking your home or
car for a few transactions is not worth it, only trade with extra cash.

Educate yourself before getting into the market. I think this is the most
important aspect, but most new traders will skip this step and go straight to
opening a broker. However, by downloading this book, you made the right
decision of gaining knowledge before anything.

Lastly, paper trading is extremely useful for new traders wishing to test
their different strategies without losing real money. It works like the stock
market but you have fake money to invest. You should spend one or two
months doing this before putting real money. A broker will provide, most of
the time, this possibility.

Without further ado, let's jump into the crazy world of the stock market. I'll
start by explaining the basics so that you can read stock charts properly.
Here are the candlesticks...
3
CANDLESTICK
CHARTS
Candlestick charts help traders focus on high-quality information about
stock price movements. Candlesticks are the most popular tools for any
investor because they provide a lot of information compared to simple
charts.

As you can see down below, I explain how to read those candles and I
provide a clear example of how they look on a chart.

Candlesticks provide you the open

HIGH HIGH
price of the stock, the close, the
OPEN
highest price and the lowest price OPEN

the stock reached on a specific

time frame.

If you don’t know what a time CLOSE CLOSE

frame is, don’t worry. I cover this LOW LOW

subject on the next page.

4
CHART TIME
FRAMES
A candlestick chart time frame represents a certain period of time over
which you want to see the price action of a specific security.

Depending on your trading style, you can have a yearly chart, but you can
also have as low as a one-minute chart. Day traders will prefer using the
daily time frame or the one-hour time frame and below. On the other hand,
long-term investors will prefer using a daily, monthly or even a yearly time
frame to get a bigger picture of the price fluctuation over time.

On the 1-minute time frame, each candle represents one minute.

On the 1-hour time frame, each candle represents one hour.
On the daily time frame, each candle represents one day.
And so on...

Here is a comparison between the daily and the one-hour chart of Apple
($AAPL).

5
Daily time frame

Here is the daily time frame of the stock. Each candle represents the stock
movements of one day.

If you take a close look at the bottom of each chart, you will be able to see
some green and red bars. This is the volume of the stock. This is a very
basic but extremely useful indicator.

I will cover this topic more in-depth later in the book.

6
1 hour time frame

As you can see, the one-hour time frame is acting as a zoom of the daily
time frame. Each candlestick on this chart represents one hour of price
action.

The DashDot grey lines on the one-hour chart represents the open and the
close of the stock market. This means that every candle in between those
grey lines represent one trading day. The market opens at 9:30 AM and
closes at 4:30 PM Eastern time on weekdays. However, the stock market is
closed on weekends and on holidays.

7
SUPPORT AND
RESISTANCE
Support and resistance is a concept extremely important in order to fully
understand the stock market. Most of your buying and selling points will be
based on support and resistance of a certain stock.

Support represents a certain area where a stock is on demand. This means

that every time the stock is touching the support level, people are buying
and you can expect the price to go up.

On the other hand, resistance represents a supply area where a stock in

being sold a lot. This means that every time the stock is touching a
resistance level, people are selling and you can expect the price to go
down.

Here is a great example of support and resistance on the daily chart of the
S&P 500 Index or $SPY (abbreviation used to identify the stock). The S&P 500
is a stock market index that measures the stock performance of 500 large
companies listed on stock exchanges in the United States.
8
As you can see on the daily chart, I drew my support line in blue and my
resistance line in red. Every time the stock falls and touches the blue
support line, it bounces back up. This can indicate a great moment to buy
the stock because it usually goes up right after touching the blue line.

If we look at the other situation, every time the stock goes up and touches
the red resistance line, it bounces back down. This can indicate a great sell
opportunity because you already know the stock tend to go down when it
touches the red line.

9
HOW TO SCAN
STOCKS
Scanning stocks can be something extremely hard for beginners. Choosing
which stock to trade can be difficult because there is so much variety and
differences between all of them. In this section, I will explain how I
personally like to scan my stocks to come out profitable from my trades.

1 - Volume

You must look out for the daily volume on a stock. The volume is the number
of shares traded on the average day. I personally like to see at least 600K in
volume or more per day.

The first aspect is so important because this will determine how easy it will
be for you to predict the direction of the stock in the future. The higher the
volume, the easier it will be for you to predict the stock movement. You will
also have less difficulty selling your position with a higher daily volume, as
a lot of people are trading the stock. If a lot of people are trading, it means a
lot of buyers are there to get shares at different prices.

10
Here's an example with Google ($GOOG), a company that everyone has surely
heard of. The volume is the green and red bars at the bottom of the daily
chart. The green ones represent buyers and the red one sellers. The current
volume as I'm writing this book is 1.86M, this means that 1.86M shares have
been traded today.

Volume
1.86M

11
2 - Price movement
The price movement of a stock is important because it determines whether
the stock usually makes 10% or 1% moves in a short period of time. You
must pick stocks that perform between 2% and 6% moves during the day
to be sure that the stock is worth trading.

The way to analyze and found great price movement on different stocks is
quite simple. You will have to go on the one minute chart and calculate the
percentage between the low and the high of the day. If this percentage is
greater than 2%, the stock is worth trading. You can see on this example of
Tesla that the stock moves a lot during the day. If there is a lot of
movement, there are more opportunities.

4.5%

12
3 - The current trend
You must pick stocks that are trending up or sideways. The stock market is
all about riding the wave and when it's done, you get out to seek another
wave to ride. If you try to ride a trend to the upside direction while the trend
is on the downside, the odds are stacked against you.

To analyze this aspect, the way to proceed is relatively simple. You have to
go on the one-hour chart of a specific stock and look if it's trending up or at
least sideways. If it's trending down, the stock is not worth your time. I
provide an example with Costco ($COST), a retail company operating a
distribution chain operating on the principle of wholesale self-service with
membership. Ever heard of it?

13
I provide another example with a downtrend using Palantir Technologies
($PLTR), a public American software company that specializes in big data
analytics. Headquartered in Denver, Colorado.

This is pretty straight forward, the stock is clearly trending down and if you
tried to place a position for a move to the upside, you would've played
against the wave. Remember, to have the best possible odds in the stock
market, you must ride the wave in the right direction.

14
RANGE
TRADING
Range trading is one of the most basic ways to trade stocks using supports
and resistances. The famous sentence "buy low, sell high" comes clearly
into play with this trading strategy.

To consider the support and resistance lines as valid, you must have more
than three bounce off each line. This indicates that the stock will have a
good chance of doing the same thing again in the future.

Here is a fictive example. Obviously, a perfect support and resistance like

the example below will be hard to find on a real chart. This is only for
educational purposes.

15
Here is a real-life example with Tesla ($TSLA). As i told you earlier, supports
and resistances are not going to be perfect in real charts. You have to keep
in mind that the support or resistance is not only a price level, it's an area.

As you can see on the example below, every time the stock touches the
support, it goes up. It's the same thing for the red line, when the stock
touches the resistance it's going down.

Range trading focus on entering a position when the stock bounces off the
blue support line. Once the stock gets close or even touch the red
resistance line, it would be the time to exit the position and take profits.

16
I provide another example for the range trading strategy down below. This is
the stock of NI0 ($NIO), a Chinese automobile manufacturer, specializing in
the development and production of electric vehicles, founded in 2014.

I personally really love to trade this company but I also keep a close eye on
NIO for a long-term investment. As Warren Buffett says, you must buy
wonderful businesses. However, this is my personal point of view on the
company, you should always do your own research.

As you can see on the chart, the blue line area acted as a strong support for
a few months. You could have benefited from this situation simply by buying
at support and selling at resistance.

17
WHAT YOU WANT
TO SEE
To consider using the range trading strategy, you must look out for some
sort of confirmation to maximize your chances of coming out profitable.

It's not always easy to fully understand where the stock is heading, this is
why I want to highlight two important signals that I personally like to see for
this kind of strategy.

1 - Candlesticks that represent buying pressure

Candlesticks can tell you a lot on the price action, you must
understand and know what they represent. This candle on the
right is what I personally like to see when it comes to range
trading. This means that the candle opened at the bottom and
went all the way up without forming any lows.

This is a very encouraging candle as it means the buyers are

definitely here and the stock is heading towards the
resistance line.
18
2- A valid support
Even if you found the best stock to execute the range trading strategy, you
must be sure that the actual price action is supported by the area you
identified. Past price action tends to repeat itself in the future but you never
know what might happen. This is why I prefer to wait for a good
confirmation before buying the stock. This confirmation can be represented
by 2 - 3 green candles in a row.

Here is a great example with a well-known company. The stock on the chart
of Disney ($DIS) has been trending up for a few months. As you can see, I
highlighted two great buying signals at the support line. The first one is
three green candles and the second one is a very bullish candle.

Bullish candle

Three green candles

19
I provide another example of a great validity of support with Advanced Micro
Devices ($AMD). This is an American manufacturer of semiconductors,
microprocessors and graphics cards based in Santa Clara.

If you look at the chart, you can see that three green candles in a row
appeared at the support area. This indicates a great time to buy the stock to
come out with a quick profit. Obviously, the selling point would be when the
stock reaches the resistance area.

20
REVERSAL
TRADING
A reversal happens when a stock has been downtrending for a while and is
now trying to reverse to perform an uptrend. To properly identify a valid
reversal, you must see higher lows. Then the stock will make a resistance
line. You need to buy the stock when that line is broken.

Sounds confusing? I provide a clear picture of a perfect reversal down

below, the stock is in a downtrend at first, then it makes higher lows to
from a resistance and finally, the break of that resistance occurs. This is
when you should buy.

21
Here is a real-life example with Square ($SQ). Square is an American
company specializing in mobile payment and electronic payment. It is based
in San Francisco.

As you can see on the chart, the stock has been downtrending for a little
less than a month (the months are at the very bottom of the picture). You
can see that the stock started to make higher lows in April. A resistance line
has also been formed and a break of that line can be seen a little bit after
consolidating.

Higher low

22
Here is another example of a good reversal with Apple ($AAPL). As you can
see, the stock performed higher lows after a downtrend. After making
around two higher lows, the stock formed a resistance line. A little bit after
consolidating on that line, you can see the stock performing a great break
out to the upside.

Riding out this new uptrend for a couple of days with the perfect entry point
would have been a very profitable trade.

Higher low

23
WHAT YOU WANT
TO SEE
I pretty much already explained what I like to see for a good confirmation of
a reversal but I will emphasize these two aspects again in this section to
ensure maximum understanding.
1- A break of a resistance line

As in all the other examples, a resistance line is extremely important to see

before buying the stock. This will show that the stock now has a lot of
buyers and that an uptrend will soon happen. The stronger the resistance,
the stronger the breakout will be.

I provide a real-life example with Apple ($AAPL). As you can see, the
resistance line is very strong and the same goes for the breakout.

A trader could have been stressed out after buying the breakout because of
the higher low that occurred below the resistance. However, if he was able
to hold his position, he would have been rewarded with some great profits a
few days later.
24
2- Higher lows
Higher lows represent extremely bullish stock movements. This means that
the stock made a low at a higher price than before. I personally like to see
two or three higher lows to use as a good reversal confirmation.

Here is an example with Facebook ($FB). As you can see in the chart, the
stock did three goods higher lows. This personally gives me more
confidence to place a position.

25
However, you should always wait for the breakout to have more
confirmation. When you have good higher lows and a break of a resistance,
you should buy the stock to ride the upcoming uptrend.

26
BREAKOUT
TRADING
Breakouts usually happens when it’s time for the stock to end or to see a
change in a trend. A breakout is when the stock has been consolidating for
a while on the resistance area and then it finally breaks to continue above
or below depending on the trend.

Here is a simple example of what a breakout should look like. Keep in mind
that a breakout can happen on the downside and upside. You also have to be
careful about fake breakouts.
BREAKOUT

RESISTANCE LINE

27
Here is a real-life example with Tesla ($TSLA), a company that I’m pretty sure
everyone is familiar with by now.

As you can see on the chart, there is a blue support line and a red
resistance line. The stock consolidated the red resistance line for about
three months. I highlighted the breakout that happened in December.

If you take a look at the stock movement following the breakout, the price
has continued to increase. If you bought after the breakout and held a
month or two, that would have been a very profitable trade.

28
Here is another example of Apple ($AAPL), an American multinational
technology company based in California, that designs, develops and sell
consumer electronics. Maybe you've heard of it?

The breakout happened on the downside this time.

29
WHAT YOU WANT
TO SEE
The last interaction with the resistance line will determine if a real breakout
happens or it's a fake one. You need to see a support of the resistance line
for the breakout to be considered as valid.

I personally like to see two aspects for good confirmation. I will explain
them below.

1 - Candlesticks that represent buying pressure.

These candles at the right of the pages are very
encouraging when a breakout is about to happen. It
doesn't matter if the candle is green or red because it
means the same thing.

These candles mean that the price went all the way
down and came back up. A lot of buyers were present in
that period of time. The stock will be more likely to
continue on the upside if this candle appears on the
breakout.
30
2 - Increase in volume
The increase in volume is important for a breakout. It means that more
people are buying (or selling) and if there is a lot of buyers (or sellers),
there is a good chance for the stock to continue in the direction it broke.

Here is an example of an increase in volume during a breakout. This is

Facebook ($FB) with the 5 minutes chart. As you can see, a green spike
occurred when the stock broke the red resistance line.

Volume increase

31
Here is another example for the volume confirmation. This time, the break
occurs on the downside. In this situation, the increase in volume represents
selling pressure.

Here is the S&P 500's daily chart ($SPY). As you can see, two big red peaks
occurred when the support line was broken. At this time, you could have
placed a short position to take advantage of the breakout or simply exited.

Volume increase

32
STOCK MARKET
INDICATORS
Indicators seek to interpret stocks in an attempt to forecast their moves.
They are usually made of previous data of the specific security you chose.
There are a lot of indicators available for traders and investors to be able to
get a better understanding of the price movements.

However, I will present you my favourites and basic ones in the next
sections. The volume, moving averages, the RSI and the MACD are very
useful indicators that will be covered.

All these indicators will help you recognize a change in a trend or an

upcoming move in the market. By understanding and using these indicators,
you will be able to notice some moves before they happen. Obviously, if you
use them correctly, they will lead you to some great profits.

I will start with the volume, a very basic and simple indicator, but certainly
a useful one.

33
TRADING WITH
THE VOLUME
I mentioned this indicator earlier in this book, this is why it will be pretty
straight forward in this section.

The volume is the number of shares traded in a certain period of time. The
volume of a certain stock tends to increase when there are a lot of
movements. On the other hand, the volume tends to decrease when there is
not significant price movements.

Here is a fictive example. This is a pretty simple and basic indicator to use
when you are trading. You want to see a great increase in volume when you
are buying at a certain point. This means that a lot of people are also buying
the stock and obviously, the price of the shares will increase in value if
more people are buying.
VOLUME INCREASE
TRADING WITH
MOVING AVERAGES
Moving averages (MA) is stock indicators. They are very helpful to confirm a
trend of a specific stock. They can also be used as a support / resistance
when trading.

Moving averages are calculated by your platform, using previous data

information. Smaller data information will create moving averages closer to
the price action, which will be useful for day trading. On the other hand,
larger data insights will create moving averages further away from the price
action that will be useful in the longer term.

9 days moving average will use the data of the past 9 days to form the
indicator.
6 days moving average will use the data of the past 6 days to form the
indicator.
26 days moving average will use the data of the past 26 days to form the
indicator.

And so on...
35
Sounds a bit confusing? As they say, a picture is worth a thousand words.
Look no further than on the chart above to see a clear example of a 26 days
moving average (MA) on the stock of Amazon ($AMZN).

The blue line on the chart represents a 26 days moving average. As I

mentioned earlier at the beginning of this section, moving averages can be
used to identify a trend and to form a support / resistance.

In that case, the line shows a support and a clear uptrend because it's
placed below the stock's price action. However, you can notice a brief
change in the trend on the right side of the chart. The stock is no longer
supported by the MA and it becomes a resistance for a while.

36
TRADING WITH TWO
MOVING AVERAGES
One moving average can be useful to trade. However, if that doesn't seem to
overload your charts, two moving averages can be helpful to identify a
quicker change in a trend.

I took the price action of Apple ($AAPL) to show a great example on the two
moving averages combined in a chart.

The blue line is a 6 days moving average and the pink one is a 26 days
moving averages. As I mentioned at the beginning of this section, if the
indicator is calculated with a smaller number of days, the MA will be closer
to the price action than a MA calculated with more days.

If you take a look at the chart down below, you can notice that when the 6
MA crosses the 26 MA to the downside, a downtrend is likely to be formed in
a near future. On the other hand, if the 6 MA crosses the 26 MA to the
upside, an uptrend will be formed soon.

37
You can take advantage of these indicators to confirm your trading strategy.
If you see a good setup that you think is valuable to you, you can use the
moving averages to confirm the direction in which you think the stock will
go.

You can also use moving averages to get out of a position and to confirm
when it's time to take your profits. If you see a cross in the two moving
averages, you can think about exiting the position to secure your gains on
the stock as the trend is likely to change soon.

38
I provide another example with Snapchat ($SNAP), a free photo and video
sharing applications available on iOS and Android mobile platforms. It was
designed and developed by students at Stanford University in California.

As you can see on the chart, a great time to buy the stock would have been
in April (see the months at the very bottom of the chart) when the 6 MA
crossed the 26 MA to the upside.

39
TRADING WITH
THE RSI
The RSI (Relative Strength Index) is one of my favourite indicators to use
during my trades. This indicator show when the stock is considered as
"overbought" or "oversold." Usually, when the stock is overbought, a sell-
off is coming and when the stock is oversold, it tends to come back up.

However, indicators cannot be used by themselves to make rational and

logical decisions. Indicators are just there to indicate technical insights of
the stock. They boost your confidence when you are taking decisions.

Here is a fictive example. The horizontal line on the top represents the
"overbought" area and the line at the bottom represent the "oversold" area.
This line will respectively be set at 70 and 30 automatically by your broker if
you choose this indicator.

40
Here is how a real RSI would look on a chart. I used Netflix ($NFLX) for this
example, a well-known company. As you can see at the bottom of the chart,
when the RSI is above 70 (the top line), the stock tends to come back down
shortly after.

OVERBOUGHT

This indicator is very useful to confirm an entry point or an exit. As I

mentioned earlier, the RSI should not be used by itself but it can be used as
a confirmation.

When I'm about to enter a position to the upside, I like to see the RSI in the
middle or below 30. This way I know the stock won't go back down too
quickly. On the other hand, when level 70 on the RSI is reached, I will exit
the position because the stock is now considered as overbought.
41
TRADING WITH
THE MACD
The MACD (Moving Average Convergence Divergence) is also one of my
favourite ones. This indicator is made of two moving averages. It can be
very helpful to indicate an upcoming change in the trend.

Here is a fictive example. As you can see, when the yellow moving average
crosses the blue one to the upside, a short uptrend will happen. On the
other hand, if that same moving average crosses the blue one to the
downside, a short downtrend will happen.

This indicator is perfect to help confirm a good entry point. If you see the
yellow MA starting to cross the blue MA to the upside, you should take a
close look at what will happen next because this represents a confirmation
that the stock is going to make a move up.

42
I provide a real example to show you how the MACD should look like on your
chart. I used Nvidia ($NVDA), an American company specializing in the design
of graphics processors, graphics cards and graphics chips for PCs and
game consoles.

As you can see at the bottom of the chart, the MACD is made of two moving
averages. I highlighted the three crosses on the chart. The first and the third
one is on the upside while the second one is on the downside.

If you take a look at Its movement, you can notice that when the stock is
going up, the yellow MA crosses the blue one to the upside as I mentioned
earlier in this section. This can be a great opportunity to buy the stock and
to make some decent profits.

43
FAKE
BREAKOUTS
Fake breakouts occurs when there is not enough buying / selling pressure
during the break of resistance or support. You must know how to read a fake
breakout through candlestick charts.

I provide an example down below of candles that could possibly occur when
a fake-out happens. You should always use indicators or any sort of
confirmation to avoid this situation.

These two candles are very common to represent a

fake breakout. These candles mean that there was
firstly, a lot of buyers and then sellers stepped in to
bring the price of the stock all the way down at the
open of the first green candles.

This is why you must wait for a good confirmation

before buying the breakout. You should wait for the
resistance to become the new support and then buy
for a move to the upside.
44
THE PARTIAL
SEEL STRATEGY
This is a great strategy to manage risk and to lose emotions on a trade when
you are either winning or losing. The partial sell is intended to sell 25% or
50% of your shares for a profit or a loss.

If you are making money on a stock and you would like to lock in the profits
because it seems like it's going down, but at the same time, you think that
the stock could go higher, you could simply sell a part of your shares and
see what's happening next. This will put you in a calm state of mind because
you already made profit.

This strategy can also be used by selling for a loss. If you still think that the
stock has potential of going in your favour but you don't want to risk too
much of your capital, you can sell a portion of the shares for a loss and stay
in the position for a while to see if the stock changes its direction. This way,
you can minimize your loss on the stock and move on.

45
WHAT IS PANIC
SELL?
Emotions are affecting everyone's behaviour when it comes to stock trading.
You must trade like a robot to be able to make reasonable decisions. They
should be done based on your analysis and not your feelings. Use your brain,
not your heart.

Panic sell happens when you have shares of a specific stock and the price
goes in the wrong direction. This results from a loss when you look at your
profits information. Your emotions will then make you sell your position
because you don't want to lose more than you're currently losing. Suddenly,
the stock goes back up after you sold all your shares. This is one of the
most frustrating things that can happen when trading because if you had
kept the position, you would've ended with profits instead of a loss.

Your emotions can be your worst enemy in the stock market, you must
control them and make rational decisions to avoid headaches.

46
HOW TO AVOID
PANIC SELL?
My personal advice to avoid this situation is to make a trading plan and to
stick to it no matter what happens. Even if you lose, you followed your plan
and this should be considered as a win. When trading, you want to be right
more often than you are wrong and a trading plan will help a lot on this.

For example, if your plan is to exit when the stock reach $120, you should
stick to that and exit when that price level is reached no matter what.

Another advice that was extremely useful to me is to scale down my

position size. You will be way more inclined to panic selling if you see huge
losses. On top of that, if you scale down and you're losing $10 instead of
$100, you will be able to stay in the position and stick to your plan.

For example, if you were initially buying 100 shares of a stock when trading,
you could scale down to 50 shares to minimize your losses.

47
ADVANCED
PATTERNS
Ascending Triangle
Breakout
Resistance line

Support line
48
 ADVANCED
PATTERNS
Descending Triangle
Resistance line

Support line
Breakout
ADVANCED
PATTERNS
Rising Wedge

Breakout
ADVANCED
PATTERNS
Bullish Symmetric Triangle

Resistance line Breakout

Support line
ADVANCED
PATTERNS
Bearish Symmetric Triangle
Resistance line

Breakout
Support line
ADVANCED
PATTERNS
Flag Continuation
Resistance line

Breakout

Support line
ADVANCED
PATTERNS
Rounding Bottom
Breakout
with an uptrend

Do
wn
tre
nd
ADVANCED
PATTERNS
Cup and Handle
Breakout

Handle

Cup
 ADVANCED
PATTERNS
Head and Shoulders
Head

Left Shoulder Right Shoulder

Breakout
 ADVANCED
PATTERNS
Inverse Head and Shoulders
Breakout

Left Shoulder Right Shoulder

Head
ADVANCED
PATTERNS
Triple Bottom
Breakout

First Second Third

ADVANCED
PATTERNS
Double Bottom
Breakout

First Second
ADVANCED
PATTERNS
Double Bottom Reversals
First Second

Breakout