Preface Page: ix
Acknowledgments Page: xi
About the Author Page: xiii
Chapter 1 Big M Page: 1
Behavior at a Glance Page: 2
Identification Page: 4
Buy Setup 1 Page: 9
Four Sell Setups Page: 11
Best Stop Locations Page: 14
Configuration Trading Page: 15
Measure Rule Page: 20
Trading Page: 21
Closing Position Page: 24
Chapter 2 Big W Page: 27
Behavior at a Glance Page: 28
Identification Page: 30
Four Buy Setups Page: 32
Best Stop Locations Page: 36
Configuration Trading Page: 37
5% Failures Page: 40
The Measure Rule Page: 43
Trading Page: 44
Closing Position Page: 50
Chapter 3 Broadening Bottoms Page: 53
Behavior at a Glance Page: 53
Identification Page: 57
Buy Setup 1 Page: 60
Sell Setups by the Numbers Page: 63
Best Stop Locations Page: 64
Configuration Trading Page: 65
Sell Setups Page: 71
Measure Rule Page: 77
Trading Page: 78
Closing Position Page: 82
Chapter 4 Broadening Tops Page: 85
Behavior at a Glance Page: 85
Identification Page: 88
Buy Setups Page: 91
Sell Setups Page: 98
Best Stop Locations Page: 102
Configuration Trading Page: 103
Measure Rule Page: 112
Trading Page: 114
Closing Position Page: 117
Setup Synopsis Page: 117
Chapter 5 Double Bottoms Page: 119
Behavior at a Glance Page: 120
Identification Page: 122
Buy Setups Page: 124
Sell Setup Page: 130
Best Stop Locations Page: 132
Configuration Trading Page: 132
Measure Rule Page: 138
Trading Page: 139
Closing Position Page: 144
Chapter 6 Double Tops Page: 147
Behavior at a Glance Page: 147
Identification Page: 149
Buy Setup Page: 151
Sell Setup Page: 154
Best Stop Locations Page: 156
Configuration Trading Page: 157
Measure Rule Page: 162
Trading Page: 163
Closing Position Page: 167
Chapter 7 Earnings Miss Page: 169
Behavior at a Glance Page: 169
Identification Page: 170
Examples Page: 171
The Numbers Page: 174
Day Traders Page: 177
Swing Traders Page: 177
Position Traders Page: 178
Buy-and-Hold Investors Page: 179
Trading Examples Page: 180
Example 2: Monster Worldwide Page: 181
Measure Rule Page: 182
Closing Position Page: 183
Chapter 8 Flags and Pennants Page: 185
Behavior at a Glance Page: 185
Identification Page: 188
Buy Setup 1 Page: 191
Buy Setup 2 Page: 193
Buy Setup 3 Page: 194
Best Stop Locations Page: 197
Measure Rule Page: 197
Trading Page: 199
Focus on Failures Page: 201
Actual Trade Page: 202
Closing Position Page: 203
Chapter 9 Head-and-Shoulders Bottoms Page: 205
Behavior at a Glance Page: 205
Identification Page: 208
Buy Setup 1 Page: 210
Buy Setup 2 Page: 212
Buy Setup 3 Page: 214
Sell Setup Page: 216
Best Stop Locations Page: 219
Configuration Trading Page: 220
Measure Rule Page: 225
Trading Page: 226
Closing Position Page: 228
Chapter 10 Head-and-Shoulders Tops Page: 231
Behavior at a Glance Page: 231
Identification Page: 233
Buy Setup Page: 235
Sell Setup Page: 237
Best Stop Locations Page: 240
Configuration Trading Page: 241
Measure Rule Page: 248
Trading Page: 249
Closing Position Page: 252
Chapter 11 Measured Move Down Page: 255
Behavior at a Glance Page: 255
Identification Page: 258
Performance Details Page: 260
After the Measured Move Down Page: 261
The Measure Rule Page: 262
Trading Page: 263
Closing Position Page: 265
Chapter 12 Measured Move Up Page: 267
Behavior at a Glance Page: 267
Identification Page: 270
Performance Details Page: 272
After the Measured Move Up Page: 273
The Measure Rule Page: 274
Closing Position Page: 276
Chapter 13 Price Mirrors Page: 277
Example 1 Page: 278
Example 2 Page: 279
Example 3 Page: 280
Closing Position Page: 281
Chapter 14 Price Mountains Page: 283
Behavior at a Glance Page: 284
Recovery Statistics Page: 284
Example Page: 285
Trading Price Mountains Page: 288
Closing Position Page: 290
Chapter 15 Rectangles Page: 291
Behavior at a Glance Page: 292
Identification Page: 294
Buy Setup 1 Page: 297
Buy Setup 2 Page: 299
Buy Setup 3 Page: 301
Sell Setup Page: 303
Shorting Tips Page: 305
Best Stop Locations Page: 306
Configuration Trading Page: 307
Measure Rule Page: 316
Trading Page: 317
Closing Position Page: 323
Chapter 16 Reversals and Continuations Page: 325
Behavior at a Glance Page: 325
The Numbers Page: 326
Variations Page: 327
Trading Page: 329
Closing Position Page: 331
Chapter 17 Straight-Line Run Down Page: 333
Behavior at a Glance Page: 333
Identification Page: 334
Performance Statistics Page: 335
Configuration Trading: Uptrend Variations Page: 337
Downtrend Variations Page: 340
Trading Page: 343
Closing Position Page: 344
Chapter 18 Straight-Line Run Up Page: 347
Behavior at a Glance Page: 347
Identification Page: 348
Performance Statistics Page: 349
Configuration Trading Page: 351
Trading Page: 355
Closing Position Page: 358
Chapter 19 Tops and Bottoms Page: 361
Behavior at a Glance Page: 361
Methodology Page: 362
Findings Page: 364
Variations Page: 365
Trading Page: 367
Closing Position Page: 368
Chapter 20 Trends and Countertrends Page: 371
Behavior at a Glance Page: 371
Trend and Countertrend Setup Page: 373
Size of the Drop Page: 376
Trading Example Page: 377
Bullish Countertrends Page: 379
Closing Position Page: 382
Chapter 21 Triangle Apex and Turning Points Page: 383
Behavior at a Glance Page: 383
Identification Page: 384
Examples Page: 385
The Numbers Page: 387
Trading Page: 388
Closing Position Page: 389
Chapter 22 Triangles, Ascending Page: 391
Behavior at a Glance Page: 392
Identification Page: 395
Buy Setup 1 Page: 396
Buy Setup 2 Page: 399
Buy Setup 3 Page: 402
Best Stop Locations Page: 404
Configuration Trading Page: 405
Measure Rule Page: 420
Trading Page: 421
Closing Position Page: 425
Chapter 23 Triangles, Descending Page: 427
Behavior at a Glance Page: 428
Identification Page: 430
Buy Setup 1 Page: 432
Buy Setup 2 Page: 434
Buy Setup 3 Page: 436
Sell Setup Page: 438
Best Stop Locations Page: 440
Configuration Trading Page: 441
Measure Rule Page: 457
Trading Page: 458
Trading Styles Page: 460
Closing Position Page: 462
Chapter 24 Triangles, Symmetrical Page: 465
Behavior at a Glance Page: 466
Identification Page: 468
Buy Setup 1 Page: 470
Buy Setup 2 Page: 472
Buy Setup 3 Page: 475
Sell Setup Page: 477
Best Stop Locations Page: 478
Configuration Trading Page: 478
Measure Rule Page: 488
Trading Page: 490
Closing Position Page: 493
Chapter 25 Vertical Run Down Page: 495
Behavior at a Glance Page: 495
Identification Page: 496
Retrace Findings Page: 499
Miscellaneous Statistics Page: 499
Configurations Page: 502
Closing Position Page: 507
Chapter 26 Vertical Run Up Page: 509
Behavior at a Glance Page: 509
Identification Page: 510
Miscellaneous Statistics Page: 513
Configuration Trading Page: 515
Trading Tactics Page: 516
Closing Position Page: 520
Glossary Page: 523
Index Page: 531
EULA Page: 531
Take chart patterns beyond buy triggers to increase profits and make better trades Chart Patterns: After the Buy goes beyond simple chart pattern identification to show what comes next. Author and stock trader Thomas Bulkowski is one of the industry's most respected authorities in technical analysis; for this book, he examined over 43,000 chart patterns to discover what happens after you buy the stock. His findings are detailed here, to help you select better buy signals, avoid disaster, and make more money.
Bulkowski analyzed thousands of trades to identify common paths a stock takes after the breakout from a chart pattern. By combining those paths, he discovered the typical routes a stock takes, which he calls configurations. Match your chart to one of those configurations and you will know, before you buy, how your trade will likely perform. Now you can avoid potentially disastrous trades to focus on the big winners.
Each chapter illustrates the behavior of a specific pattern. Identification guidelines help even beginners recognize common patterns, and expert analysis sheds light on the period of the stock's behavior that actually affects your investment. You'll discover ideal buy and sell setups, how to set price targets, and more, with almost 370 charts and illustrations to guide you each step of the way. Coverage includes the most common and popular patterns, but also the lesser-known ones like bad earnings surprises, price mirrors, price mountains, and straight-line runs. Whether you're new to chart patterns or an experienced professional, this book provides the insight you need to select better trades.
- Identify chart patterns
- Select better buy signals
- Predict future behavior
- Learn the best stop locations
Knowing the pattern is one thing, but knowing how often a stop will trigger and how often you can expect a stock to reach its target price is another matter entirely—and it impacts your trade performance immensely. Chart Patterns: After the Buy is the essential reference guide to using chart patterns effectively throughout the entire life of the trade.