ABSTRACT
Other Reversal phenomena We have considered so far eight classes of chart patterns that appear at more or less important Reversals of direction in the trend of prices. They are as follows:
1. The Head and Shoulders 2. Multiple or Complex Head and Shoulders 3. Rounding Turns 4. Symmetrical Triangles 5. Right-Angle Triangles 6. Rectangles 7. Double and Triple Tops and Bottoms 8. One-Day Reversal
Of these, numbers 1, 2, 3, and 7 develop most often at Major Turns, whereas numbers 4, 5, and 6 occur more frequently at Intermediate Stages. Numbers 1, 2, 3, and 5 give indication before they are completed as to which way the price trend is likely to proceed from them. Numbers 4 and 6 give no such indication and, as we have seen, are rather more apt to signal Consolidation or Continuation than Reversal. But all of them can, and on occasion do, appear at both Major Tops or Bottoms. EN: Number 8 appears typically after out of control moves, up and down.
