Replies to post #71807 on ajtj99's Market Pulse

[Newly2b]

I'll defer to your greater experience in this, LG, as I consider you the ultimate authority in matters of accuracy in charting formations. You are correct, there is no clearly defined preceding trend in which to place such a formation, just a period of congestion with a slightly downward bias. A shame, too, because it is a lovely (if invalid) triangle, don't you think?

I've been to Kevin Matra's site, and I study Bulkowski's book religiously, but nowhere have I yet found written rules for placing trendline anchors properly. I believe you, Shack and myself had this discussion about a year ago, and I learned a lot that has helped my charting since, but now that I've learned proper anchoring, I make different mistakes, sometimes neglecting to consider the context in which the formation arises (as in this case), and occasionally ignoring the volume pattern that confirms the formation.

Thanks for your sharing your thoughts.

Newly