Newstrike Capital Inc NWSKF

RE: RE: RE: 2 yr chart NES cup forming

[taylor1988]

While exact specifications for technicals are helpful, often they are not perfect in examples.  AAPL has been moving steadily along and one could say has formed a cup with handle formation but volume is the lowest it's been since last Christmas.  Regardless price has continued higher recently.  I agree some volume would be nice to see but no pattern is ever perfect.  Passing up an almost textbook pattern due to it not meeting all the guidelines is a sure-fire way to miss out on some great opportunities.

 

HOG (Harley Davidson) had a textbook measured move off it's head and shoulders pattern that occured between March and June of this summer but volume barely increased on the right shoulder like it should have and volume was highest at the head.. another non-confirming indicator of the H & S pattern.  Had one paid attention to only volume they'd have missed 15% gain by shorting HOG off the neckline.  When patterns are almost textbook looking on the chart you've got to take the confirming indicators with a grain of salt sometimes.