Sunday, September 5, 2010

11. How to Trade the Wedge Chart Pattern Like a Pro Part 1

June 9, 2010 by  
Filed under futures market


www.informedtrades.com The 5th lesson in a series on charting patterns which goes over the rising and falling wedge patterns for traders of the forex market, stock market, and futures market.

Comments

25 Responses to “11. How to Trade the Wedge Chart Pattern Like a Pro Part 1”
  1. bullworthytrends says:

    What a bore this guy is!
    Don’t day trade – buy good stocks at good prices, and build yourself a small fortune!
    Search “Bullworthy” for much more practical, interesting, and instructional videos!

  2. StreakerUSA says:

    Dave, how can you consider these wedges? I understand that you have been using wedges on these hourly, minute charts, but there are certain criteria that need to be met when considering wedges and pennant. As they are very much alike, though, the only difference is their time duration of the chart formation. Generally speaking from what I have read, wedges are required to have a minimum of 3 weeks, otherwise they are considered a pennant.

    Thanks

  3. StreakerUSA says:

    FreakyShrimp, you can find all of those statistics in “Encyclopedia of Chart Patterns” it gives more than enough information on all questions you may have or don’t need. It’s written by I think Thomas Bulwiski or something like that

  4. laton0 says:

    i found megapips sytem
    todaymarketsignalsdotblogspotdotcom/

  5. TheFreakyShrimp says:

    Hello David, thanks for your series of excellent videos.I am interested if you have any statistics on the various techniques that you mention.For example what percent of the time does a falling wedge lead to a trend reversal etc.?

  6. m3allem71 says:

    How about riding the pattern with a good entry point and with a stop just above/below depending on the course of the pattern?

  7. Theworldisyourz09 says:

    wow your a guru

  8. InformedTrades says:

    Okay my bad for the misunderstanding. Thanks for clarifying that!

    -Brendan

  9. TheProphiting1 says:

    My comment was directed towards graveyard909, not Dave nor you( Brendan ), Dave is very clear and to the point.

  10. InformedTrades says:

    Hey TheProphiting,
    This is one of Dave’s older almost oldest videos. I think he has improved quite a bit from when he started, but I will forward your comment on to him.

    -Brendan

  11. TheProphiting1 says:

    Your sentence structure is not very clear or your point. Raise a clear well structured paragraph if you want to make a valid point, and as always, use correct spelling in all of your words. Thank you, this will help all of us learn from you.

  12. ayapsone says:

    who are u man…you know..nobody is compelling you to follow up. There are other videos in youtube..just get there out…leave us. we know how to trade/talk/walk and dump

  13. Fotuitaamai says:

    Hey Graveyard, if you can do better, why dont you show us.

  14. graveyard909 says:

    To be frankly, these videos doesn’t help and make worse when people believe your theories. Because these theories were all PAST, not future. If you want to teach or help new investors, tell them with the half chart, which means, the chart that doesn’t appear to be double top or double bottom, still in progress and take action, BUY or SELL? NOT just speak from chart, but do it LIVE, then you are real, or you are just lame. Talk the talk is EASY, a 6 year old can do that! Can you walk the walk?

  15. jackj1959 says:

    LOL… The Falling Wedge continuation pattern: continuation of the uptrend – yeah, after it retraces 100% of its uptrend! Personally, I wouldn’t call that a continuation of the uptrend! In fact, when it got back up to its top, where it supposedly is continuing up from, it found resistance and turned back down! LOL…

  16. mtltrader says:

    Hi Dave, I noticed that you are not really using volume to establish the base of your wedge nor are you really using a volume increase to confirm your breakout… You did have an increase of volume on the breakout of your second and third wedge though. Is it that you do not use volume or did you just not have the time to mention it being that it is a relatively short video?

  17. InformedTrades says:

    Hi JeffreyOsb, Thanks for the comment and for watching I am glad you like the videos. I am not familiar with funnel lines, are you referring to channel lines? Best Regards, Dave

  18. JeffreyOsb says:

    Hello David, great tutorials. I’ve been watching all of them and I’m going to keep following up on the rest. This question isn’t related to the wedge but simply is there a good application that you can recommend for drawing funnel lines? I can generally tell with my eye where they stand but it’s always easier to physically see them.

    Thanks in advance.

  19. InformedTrades says:

    Hi aasyraf,

    I mispoke there when I said bullish. My apologies will correct in the next version thanks for pointing that out. Best Regards, Dave

  20. aasyraf says:

    Hi dave

    at 2:22 you mentioned that if you fing a Rising Wedge Continuation Pattern it is a Bullish Signal, which means it will continue in an uptrend. I understand that the Rising Wedge Continuation pattern when located in a downtrend results in a continuation of that downtrend.

    I am confused!
    thanks

  21. InformedTrades says:

    Hi Evgenykravchenko, Thanks for the comment. As with any tool in technical analysis I think most traders would say you could use this on any time frame. As a general rule however the longer the time frame a pattern is found on the more relevant it is thought to be. Hope that helps. Best Regards, Dave

  22. evgenykravchenko says:

    this pattern is really sketcy… What day range would you apply this to? weekly, hourly, monthly?

  23. InformedTrades says:

    Thanks a lot for the comments Jawad I am glad you like the videos. Best Regards, Dave

  24. afellatjawad says:

    thanks for the response and i would like to say i like u r videos a lot . anytime i ll have a question contact u .
    jawad Morocco :)

  25. InformedTrades says:

    Hi Afellatjawad, Thanks for the comment. They do not have to touch all the tops and bottoms in a trend however you need at least two points to draw the lines off of. The lines also do not have to be exact but should be as close to the top or bottom of the trend as possible. Hope that helps let me know if you have any other questions. Best Regards, Dave

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