Page 11 - Futures Money Machine-Study Session #6

Favorite Price Patterns

Channels …

Big trends emerge form elongated “price
channels” also known as “bracketed
markets”. Another term of channels is
called “complex corrections”.

These channels can occur at market
bottoms, tops, or during some
corrections.

Trade Tip: Scan for markets that have
been stuck in a narrow price range
between 10% to 15% for at least 20-days.
The see if you can identify and clearly see
the channel, draw and upper resistance
line and lower support line identifying the
channel. Then wait for the market to
break out of the channel before
considering the trade!