This week's content (June 10th) Chart Patterns

This week's podcast was about chart patterns and reversals. It was very much a beginner discussion about chart patterns. The main focus was on the Head and Shoulders pattern. I'm hoping to get a video posted this week and will add it to the Technical Analysis course.

Here is the article and podcast if you want to reference it:

https://stokestrades.com/chart-patterns-and-reversals/

There are many chart patterns to study and get familiar with. This article mentions many of them but focuses on the head and shoulders pattern. I think it's a good idea to get familiar with these patterns even though you may not be using them with your specific strategy. I found it useful just going through the details of this pattern to understand more about how technical analysis works, and what some traders and institutions use for making trades. As always, some people will recommend various patterns, while others won't. I think they're worth studying. I found Chapters 5 and 6 from the textbook Technical Analysis of the Financial Markets pretty useful for this topic (it's referenced as a resource in the Technical Analysis course). I found a few YouTube videos which were great for visuals, but they seemed a bit advanced in terms of discussing strategy. Right now I'm still trying to just learn the basics.

If you do a Google search of head and shoulders and choose images, you can find a few examples. It's good to realize that the patterns don't always look perfect, and nothing is foolproof. If you're not on X, you might want to consider it as well, as there is a lot of good information regarding finance on that app. If you search "head and shoulders pattern" on X, you can find several posts and threads which include more images to help you get a better visual of this pattern and others.

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