Don’t Trade Bottoming Patterns Without
These Tips
Traders
and investors often “pick the bottom,” thinking they are getting a great price.
But
stocks are often cheap for a reason, and can remain “dogs” -- and some go
bankrupt.
Did you know that Bottoming Patterns set up in different forms and trends?
Most
are traps to the uneducated trying to “pick bottoms” and buy cheap.
Don’t
be a victim of the breakouts that fail, and be whipped around.
At Master Trader, we have
several criteria to define quality setups based on the structure of the price
pattern.
The Structure of the
price pattern will speak to us about the relationship between buyers (demand)
and sellers (supply) and the likelihood of reversals and trend continuation.
