suriNotes.com’s Dec. 04, 2017 Chart Patterns & Algo. Trader Trading Parabolic Arc Patterns A Weekly Publication
Chart Patterns & Algorithmic Trader 2017 ALL RIGHTS RESERVED No part of this document may be reproduced or transmitted without the express written consent of the suriNotes.com or Suri Duddella. This document relies on sources and information reasonably believed to be accurate, but neither the author nor publisher guarantees accuracy or completeness. The examples in this document could be considered hypothetical trades. The CFTC warns that: HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS. COPYRIGHT © 2017 – suriNotes.com Data & Charts are created by TradeStation Software from TradeStation Securities. Published in the United States of America
Disclaimer: All the material in this document is provided as Educational Material only. NONE of the chart patterns or chart setups or all other material in this document are trade recommendations. Trading is risky. You are 100% responsible for your own trading. Trading is risky. You are 100% responsible for your own trading. suriNotes.com or Suri Duddella, specifically disclaims any and all express and implied warranties. Your trades may entail substantial loss. Nothing in this document should be construed as a recommendation to buy or sell any security or other instrument, or a determination that any trade is suitable for you. Chart Patterns and other material in this document are Auto generated in TradeStation software and we try our best to check for errors and data consistency, but they may still consist of data or algorithmic errors.
“My definition of a mistake is when you don’t follow your rules. And if you don’t have rules, then everything you do is a mistake. And self-sabotage occurs when you keep repeating the same mistakes over and over and over again.” - Van K. Tharp “The essential element is having a core philosophy. Without a core philosophy you're not going to be able to hold on to your positions or stick with your trading plan during really difficult times.” - Jack Schwager
Table of Contents US Markets Patterns Gallery Chart Patterns Energy & Oil Stocks Stocks/Futures/Commodities/FX Earnings Next Week/Charts Watch Lists Bullish/Bearish, Relative Strength Key Supp/Resistance/Pivots Charts Gap Charts Weekly Relative Performances ALGORITHMIC TRADER Trading ABC Bearish Patterns Algorithmic Trades Symbols Universe Books/Websites/Software
Chart Links ■Major Market Indexes Trends ■Gold Futures ABC Bullish Pattern ■@QM Inv. H&S Pattern ■ARAY Inv. HS Pattern ■BRKS Bear Flag Pattern ■CGNX Parabolic Arc Pattern ■GOOG Rectangle Channel ■ISRG Parabolic Arc Pattern ■AMTD Asc. Triangle Pattern ■ADSK AB=CD Pattern ■TSCO ABC Bullish Pattern ■JD Head and Shoulders Pattern ■AMGN Wedge Pattern ■CRAY Symmetric Triangle Pattern ■MCD ABC Bullish Pattern ■COST ABC Bullish Pattern ■UPS Cup & Handle Pattern ■LUV ABC Bullish Pattern ■FDX ABC Bullish Pattern ■INTC Bull Flag Pattern ■GS Inv. HS Pattern ■XRT Inv. H&S Pattern ■CVX Cup & Handle Pattern ■DATA ABC Bullish Pattern ■ULTA Parabolic Arc Pattern ■NTNX ABC Bullish Pattern ■ULTI ABC Bullish Pattern ■Bitcoin (CME’s Bitcoin Idx) ABC Bullish ■IBM ABC Bullish Pattern ■AAL ABC Bullish Pattern ■ALNY Cup & Handle Pattern ■MU AB=CD Pattern 12 13 14 18 19 20 21 22 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49
■PEP AB=CD Pattern ■DAL ABC Bullish Pattern ■@HO AB=CD Pattern ■@RR ABC Bullish Pattern ■@FC ABC Bullish Pattern ■@O Head and Shoulders Pattern ■@CL Inv. HS Pattern ■@LC ABC Bullish Pattern ■@SB Rectangle Channel Pattern ■@AD AB=CD Pattern ■@CD ABC Bullish Pattern ■@DX ABC Bullish Pattern ■@JY Rectangle Channel ■AUDUSD AB=CD Pattern ■EURAUD ABC Bullish Pattern ■EURNZD ABC Bullish Pattern ■EURUSD Inv. HS Pattern ■QM Fib. Zone Pivots ■@ES Gap Chart ■YM Gap Chart ■AZO Parabolic Arc Pattern ■AVGO Parabolic Arc Pattern ■LULU Bullish Gartley Pattern ■LULU Rectangle Channel ■COST ABC Bullish Pattern ■ADBE Parabolic Arc Pattern 50 51 55 56 57 58 59 60 61 65 66 67 68 69 70 71 72 76 80 82 86 87 88 89 90 91
Major Markets
Major Markets Major Indexes %Chg YTD
Chart Patterns & Algorithmic Trader (12) Major Market Indexes Trends All four major market indexes (Weekly) charts are showing strong eSix trends. www.surinotes.com
Chart Patterns & Algorithmic Trader (13) Gold Futures ABC Bullish Pattern Reviewed in CPAT 11/20/17 Gold Futures @GC (Daily) chart is trading in ABC Bullish Pattern. ABC Bullish Long Entry above 1286.2, Stop below 1267.7 (-19.0), Target1 Zone: 1361 to 1386, Target2 Zone: 1456 to 1509 www.surinotes.com
Chart Patterns & Algorithmic Trader (14) @QM Inv. H&S Pattern Reviewed in CPAT 09/25/17 $@QM (D) is trading in Inv. H&S Pattern. Long entry above 51.575, Stop below 49.075 (2.500), Target1 Zone: 56.64 to 58.02, Target2 Zone: 62. to 64.85 www.surinotes.com
Robotics Stocks
Robotics Stocks (YTD%)
Robotics Stocks ROBO BOTZ Global Robotics & Automation ETF GlobalX Robotics & AI ETF
Chart Patterns & Algorithmic Trader (18) ARAY Inv. HS Pattern $ARAY (D) Inv. HS Pattern (F). Long entry above 4.68, Stop below 4.29 (0.39), Target1 Zone: 5.3 to 5.5, Target2 Zone: 6.1 to 6.4 www.surinotes.com
Chart Patterns & Algorithmic Trader (19) BRKS Bear Flag Pattern BRKS (Daily) is trading in Bear Flag pattern. Short entry is below $25.36, Targets: $23-24, $16.89 to $19.46. www.surinotes.com
Chart Patterns & Algorithmic Trader (20) CGNX Parabolic Arc Pattern $CGNX (W) is trading in Parabolic Arc from 01/15/2016 (low: 28.01) to 11/24/2017 (high: 145.98). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Chart Patterns & Algorithmic Trader (21) GOOG Rectangle Channel Reviewed in CPAT 10/16/17 GOOG (Daily) is trading in Rectangle Channel pattern. Pattern upper breakout level is above $1008.61. Targets: $1044-1080. www.surinotes.com
Chart Patterns & Algorithmic Trader (22) ISRG Parabolic Arc Pattern $ISRG (W) is trading in Parabolic Arc from 05/09/2014 (low: 115.49) to 11/24/2017 (high: 400.00). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Chart Patterns Stocks/Options/Indexes
Patterns Gallery
Chart Patterns & Algorithmic Trader (26) AMTD Asc. Triangle Pattern AMTD (Daily) is trading in Ascending Triangle pattern. AMTD is also trading in Cup & Handle pattern. Pattern breakout is above $47.25, Targets: $51, $54-56. Stop below $45. www.surinotes.com
Chart Patterns & Algorithmic Trader (27) ADSK AB=CD Pattern ADSK (D) is trading in AB=CD Pattern. After its earnings, ADSK has dropped over $20 on 11/29. AB=CD pattern targets: $106-111, 99, $79-90. www.surinotes.com
Chart Patterns & Algorithmic Trader (28) TSCO ABC Bullish Pattern Reviewed in CPAT 11/20/17 $TSCO (D) ABC Bullish Pattern Long Entry above 56.74, Stop below 54.75 (-1.99), Target1 Zone: 61.9 to 63.9, Target2 Zone: 69.5 to 73.6 www.surinotes.com
Chart Patterns & Algorithmic Trader (29) JD Head and Shoulders Pattern Reviewed in CPAT 10/23/17 $JD (D) is trading in HS Pattern. Short entry below 39.33, Stop above 42.63 (-3.30), Target1 Zone: 33.4 to 31.7, Target2 Zone: 27.1 to 23.7 www.surinotes.com
Chart Patterns & Algorithmic Trader (30) AMGN Wedge Pattern AMGN (W) is trading in rising Wedge pattern. www.surinotes.com
Chart Patterns & Algorithmic Trader (31) CRAY Symmetric Triangle Pattern CRAY (Daily) is trading in Symmetric Triangle pattern. Pattern breakout is above $20.50. Stop below $19. www.surinotes.com
Chart Patterns & Algorithmic Trader (32) MCD ABC Bullish Pattern $MCD (W) ABC Bullish Pattern Long Entry above 114.84, Stop below 110.32 (4.52), Target1 Zone: 137.8 to 145.3, Target2 Zone: 166.8 to 182.4 www.surinotes.com
Chart Patterns & Algorithmic Trader (33) COST ABC Bullish Pattern Reviewed in CPAT 11/20/17 $COST (D) is trading in Cup & Handle Pattern. Entry above breakout level: 182.71, Handle Low: 167.00, 48.03% below breakout level. T1: 202.9 to 208.4 T2: 224.3 to 235.7 www.surinotes.com
Chart Patterns & Algorithmic Trader (34) UPS Cup & Handle Pattern Reviewed in CPAT 10/09/17 $UPS (D) is trading in Cup & Handle Pattern. Entry above breakout level: 120.44, Handle Low: 111.25, 50.16% below breakout level. T1: 131.8 to 134.8 T2: 143.7 to 150.1 www.surinotes.com
Chart Patterns & Algorithmic Trader (35) LUV ABC Bullish Pattern $LUV (D) ABC Bullish Pattern Long Entry above 53.75, Stop below 52.77 (-0.98), Target1 Zone: 59.0 to 60.7, Target2 Zone: 65.6 to 69.2 www.surinotes.com
Chart Patterns & Algorithmic Trader (36) FDX ABC Bullish Pattern $FDX (D) ABC Bullish Pattern Long Entry above 218.72, Stop below 214.16 (-4.56), Target1 Zone: 231.6 to 236.4, Target2 Zone: 250.0 to 259.9 www.surinotes.com
Chart Patterns & Algorithmic Trader (37) INTC Bull Flag Pattern INTC (Daily) is trading in Bull Flag pattern. INTC’s ABC Bullish pattern was first reviewed in 9/18/2017 and Inv. HS pattern was first reviewed in 9/25/17. Current bull flag with eSIX trend may confirm its breakout. Upper Targets: $48, $50-51. www.surinotes.com
Chart Patterns & Algorithmic Trader GS Inv. HS Pattern (38) Reviewed in CPAT 10/09/17 GS (D) is trading in Inv. H&S Pattern. Long entry above 229.36, Stop below 222.00 (7.36), Target1 Zone: 241.6 to 244.9, Target2 Zone: 254.4 to 261.3 www.surinotes.com
Chart Patterns & Algorithmic Trader (39) XRT Inv. H&S Pattern $XRT (D) is trading in Inv. H&S Pattern (F). Long entry above 41.73, Stop below 40.21 (1.52), Target1 Zone: 44.2 to 44.9, Target2 Zone: 46.8 to 48.2 www.surinotes.com
Chart Patterns & Algorithmic Trader (40) CVX Cup & Handle Pattern Reviewed in CPAT 10/23/17 $CVX (D) is trading in Cup & Handle Pattern. Entry above breakout level: 119.00, Handle Low: 112.52, 39.39% below breakout level. T1: 129.2 to 131.9 T2: 139.9 to 145.6 www.surinotes.com
Chart Patterns & Algorithmic Trader (41) DATA ABC Bullish Pattern Reviewed in CPAT 09/18/17 $DATA (W) ABC Bullish Pattern Long Entry above 44.23, Stop below 41.40 (-2.83), Target1 Zone: 57.4 to 61.8, Target2 Zone: 74.3 to 83.4 www.surinotes.com
Chart Patterns & Algorithmic Trader (42) ULTA Parabolic Arc Pattern Reviewed in CPAT 09/18/17 $ULTA (W) is trading in Parabolic Arc from 07/31/2009 (low: 7.90) to 06/09/2017 (high: 314.86). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Chart Patterns & Algorithmic Trader (43) NTNX ABC Bullish Pattern Reviewed in CPAT 10/23/17 $NTNX (D) ABC Bullish Pattern Long Entry above 21.88, Stop below 20.64 (-1.24), Target1 Zone: 25.6 to 27.0, Target2 Zone: 30.8 to 33.6 www.surinotes.com
Chart Patterns & Algorithmic Trader (44) ULTI ABC Bullish Pattern $ULTI (D) ABC Bullish Pattern Long Entry above 199.01, Stop below 193.07 (-5.94), Target1 Zone: 219.6 to 226.9, Target2 Zone: 247.7 to 262.7 www.surinotes.com
Chart Patterns & Algorithmic Trader (45) Bitcoin (CME’s Bitcoin Idx) ABC Bullish Reviewed in CPAT 11/13/17 BRTI (D) is trading in ABC Bullish Pattern. Long Entry above 3590.26, Stop below 2991.55 (-598.71), Target1 Zone: 4914.1 to 5436.8, Target2 Zone: 6942.5 to 8031.3, Target3 Zone: 10053.49 to 11142.33. www.surinotes.com
Chart Patterns & Algorithmic Trader (46) IBM ABC Bullish Pattern $IBM (D) ABC Bullish Pattern Long Entry above 148.68, Stop below 146.20 (-2.48), Target1 Zone: 160.7 to 164.6, Target2 Zone: 175.9 to 184.1 www.surinotes.com
Chart Patterns & Algorithmic Trader (47) AAL ABC Bullish Pattern $AAL (D) ABC Bullish Pattern Long Entry above 45.98, Stop below 45.26 (-0.72), Target1 Zone: 52.1 to 54.0, Target2 Zone: 59.4 to 63.3 www.surinotes.com
Chart Patterns & Algorithmic Trader (48) ALNY Cup & Handle Pattern $ALNY (W) is trading in Cup & Handle Pattern. Entry above breakout level: 140.00, Handle Low: 124.56, 14.21% below breakout level. T1: 207.1 to 225.4 T2: 277.9 to 316.0 www.surinotes.com
Chart Patterns & Algorithmic Trader MU AB=CD Pattern (49) MU (W) is trading in AB=CD pattern. AB=CD pattern completion zone is $49-60. www.surinotes.com
Chart Patterns & Algorithmic Trader PEP AB=CD Pattern (50) PEP (W) is trading in AB=CD Pattern. PEP reached 100% of AB level (118.74). www.surinotes.com
Chart Patterns & Algorithmic Trader (51) DAL ABC Bullish Pattern $DAL (D) ABC Bullish Pattern Long Entry above 49.38, Stop below 48.32 (-1.06), Target1 Zone: 54.2 to 55.8, Target2 Zone: 60.4 to 63.7 www.surinotes.com
Chart Patterns Futures & Commodities
Futures Chg%
Futures Weekly Performance
Chart Patterns & Algorithmic Trader (55) @HO AB=CD Pattern @HO (Heating Oil, Weekly) is trading in AB=CD pattern. Price reached 1st target zone 1.9172-2.1540. www.surinotes.com
Chart Patterns & Algorithmic Trader (56) @RR ABC Bullish Pattern $@RR (D) ABC Bullish Pattern Long Entry above 11.515, Stop below 11.305 (0.210), Target1 Zone: 13.20 to 13.72, Target2 Zone: 15.20 to 16.27 www.surinotes.com
Chart Patterns & Algorithmic Trader (57) @FC ABC Bullish Pattern $@FC (D) ABC Bullish Pattern Long Entry above 152.861, Stop below 149.275 (3.586), Target1 Zone: 163.61 to 167.50, Target2 Zone: 178.70 to 186.80 www.surinotes.com
Chart Patterns & Algorithmic Trader (58) @O Head and Shoulders Pattern $@O (D) is trading in H&S Pattern (F). Short entry below 247.3, Stop above 273.6 (-26.3), Target1 Zone: 190 to 175, Target2 Zone: 130 to 98 www.surinotes.com
Chart Patterns & Algorithmic Trader (59) @CL Inv. HS Pattern Reviewed in CPAT 10/02/17 $@CL (D) is trading in Inv. H&S Pattern. Long entry above 51.55, Stop below 49.05 (2.50), Target1 Zone: 56.6 to 58.0, Target2 Zone: 61.9 to 64.8 www.surinotes.com
Chart Patterns & Algorithmic Trader (60) @LC ABC Bullish Pattern $@LC (D) ABC Bullish Pattern Long Entry above 125.575, Stop below 122.750 (2.825), Target1 Zone: 134.19 to 137.30, Target2 Zone: 146.24 to 152.70 www.surinotes.com
Chart Patterns & Algorithmic Trader (61) @SB Rectangle Channel Pattern @SB (Sugar Futures) is trading in Rectangle Channel pattern. www.surinotes.com
Chart Patterns FX
FX Weekly Performance
FX Chg%
Chart Patterns & Algorithmic Trader (65) @AD AB=CD Pattern Reviewed in CPAT 11/13/17 @AD (Australian Dollar, Daily) is trading in AB=CD Bearish pattern. AB=CD pattern target range: 0.7328-0.7496. www.surinotes.com
Chart Patterns & Algorithmic Trader (66) @CD ABC Bullish Pattern Reviewed in CPAT 11/13/17 $@CD (D) is trading in ABC Bullish Pattern. eSIX trend is still bearish. Long Entry above 0.78280, Stop below 0.77445 (-0.00835), Target1 Zone: 0.8378 to 0.8550, Target2 Zone: 0.9045 to 0.9404 www.surinotes.com
Chart Patterns & Algorithmic Trader (67) @DX ABC Bullish Pattern $@DX (D) is forming ABC Bullish Pattern. ESIX trend is bearish. Long Entry above 93.155, Stop below 92.425 (-0.730), Target1 Zone: 95.09 to 95.81, Target2 Zone: 97.89 to 99.40 www.surinotes.com
Chart Patterns & Algorithmic Trader (68) @JY Rectangle Channel @JY (Japanese Yen) is trading in Rectangle Channel. Reviewed in CPAT 10/02/17 www.surinotes.com
Chart Patterns & Algorithmic Trader (69) AUDUSD AB=CD Pattern AUDUSD (Daily) is trading in AB=CD pattern. AB=CD bearish pattern target range: 0.73659 to 0.75280 www.surinotes.com
Chart Patterns & Algorithmic Trader (70) EURAUD ABC Bullish Pattern Reviewed in CPAT 10/30/17 $EURAUD (D) ABC Bullish Pattern Long Entry above 1.46382, Stop below 1.44199 (-0.02183), Target1 Zone: 1.5409 to 1.5678, Target2 Zone: 1.6453 to 1.7013 www.surinotes.com
Chart Patterns & Algorithmic Trader (71) EURNZD ABC Bullish Pattern Reviewed in CPAT 9/18/17 $EURNZD (D) ABC Bullish Pattern Long Entry above 1.54442, Stop below 1.52339 (-0.02103), Target1 Zone: 1.6286 to 1.6572, Target2 Zone: 1.7396 to 1.7991 www.surinotes.com
Chart Patterns & Algorithmic Trader (72) EURUSD Inv. HS Pattern $EURNZD (D) is trading in Inv. H&S Pattern (F). Long entry above 1.57621, Stop below 1.54981 (0.02641), Target1 Zone: 1.6521 to 1.6728, Target2 Zone: 1.7323 to 1.7753 www.surinotes.com
Key Support/Resistance, Pivots
Chart Patterns & Algorithmic Trader ES Fib. Zone Pivots (74) @ES Fib. Zone Pivots www.surinotes.com
Chart Patterns & Algorithmic Trader (75) NQ Fib. Zone Pivots NQ Fib. Zone Pivots www.surinotes.com
Chart Patterns & Algorithmic Trader (76) QM Fib. Zone Pivots QM Fib. Zone Pivots www.surinotes.com
Chart Patterns & Algorithmic Trader (77) GC Fib. Zone Pivots @GC Fib. Zone Pivots www.surinotes.com
Chart Patterns & Algorithmic Trader YM Fib. Zone Pivots (78) YM Fib. Zone Pivots www.surinotes.com
GAP Charts Shows filled and unfilled gap levels
Chart Patterns & Algorithmic Trader @ES Gap Chart (80) @ES Gap chart with filled and unfilled Gaps with at least 1 ATR Gap. www.surinotes.com
Chart Patterns & Algorithmic Trader @NQ Gap Chart (81) @NQ Gap chart with filled and unfilled Gaps with at least 1 ATR Gap. www.surinotes.com
Chart Patterns & Algorithmic Trader YM Gap Chart (82) @YM Gap chart with filled and unfilled Gaps with at least 1 ATR Gap. www.surinotes.com
Earnings Companies releasing earnings in the next few weeks.
December Earnings Calendar
January Earnings Calendar
Chart Patterns & Algorithmic Trader (86) AZO Parabolic Arc Pattern $AZO (W) is trading in Parabolic Arc from 06/06/2008 (low: 84.66) to 07/15/2016 (high: 803.25). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Chart Patterns & Algorithmic Trader (87) AVGO Parabolic Arc Pattern $AVGO (W) is trading in Parabolic Arc from 09/10/2010 (low: 18.41) to 11/24/2017 (high: 282.99). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Chart Patterns & Algorithmic Trader (88) LULU Bullish Gartley Pattern LULU (W) is trading in Bullish Gartley pattern. LULU Earnings: 12/06/17. Long entry is above $56.86 with a stop below $51.30. Targets: $71-77, $86. www.surinotes.com
Chart Patterns & Algorithmic Trader (89) LULU Rectangle Channel Reviewed in CPAT 10/16/17 LULU is trading in Rectangle Channel. Upside breakout is above $63. Targets: $6369. www.surinotes.com
Chart Patterns & Algorithmic Trader (90) COST ABC Bullish Pattern Reviewed in CPAT 11/20/17 $COST (D) ABC Bullish Pattern Long Entry above 157.25, Stop below 154.10 (3.15), Target1 Zone: 164.8 to 167.7, Target2 Zone: 176.0 to 182.0 www.surinotes.com
Chart Patterns & Algorithmic Trader (91) ADBE Parabolic Arc Pattern Reviewed in CPAT 09/18/17 $ADBE (W) is trading in Parabolic Arc from 08/19/2011 (low: 22.67) to 11/24/2017 (high: 185.55). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode. www.surinotes.com
Weekly Relative Performances
Sector & Indexes Relative Performances Winners: Banking, OiService, Insurance Losers: Technology, GoldSilver, SemiConductors
Dow 30 Weekly Relative Performance
Select Sectors Weekly Performance
Country ETFs Weekly Performance
Commodity ETFs Weekly Performance
Watch Lists Momentum Relative Strength Bullish/Bearish Lists NH/NL Oversold/Overbought Key Retracements
Sector ETF %DWMY
Relative Strength Ranks (200)
RS Ranks Sorted (Alpha)
Bullish/Bearish List
52 Week Highs and Lows
D%, W%, M%, YTD%
Algorithmic Trading Algo. Techniques Algo. Reports Current Algorithms ALL RETURNS POSTED ON THIS PUBLICATION ARE HYPOTHETICAL PERFORMANCE GENERATED BY COMPUTERIZED SYSTEM AND THEY ARE NOT ACTUAL TRADE REPORTS. HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS.
Trading Parabolic Arc Patterns by Suri Duddella Parabolic Arc chart patterns form when a steep rise in prices caused by irrational buying and intense speculation. Parabolic Arc patterns are rare, but they are reliable and are generated in mega bull trends. These patterns trend gradually making higher highs and lower lows in the beginning stages but can be volatile in the exhaustion and reversal stages. Irrational buying in the public generates a strong rally to push prices vertically, followed by a steep sell-off. Examples of this market types are the NASDAQ bullish markets during 1990-2000 (retraced 80%) and Gold prices from 2000-2011 (retraced 62%). Parabolic Arc is a reversal pattern and has a very predictable outcome. Although these patterns are predictable, they are relatively difficult to trade since the market sentiment is bullish and may be fairly tough to point reversals to trade. Most Parabolic Arc patterns have a significant correction of 62-79% of its price rise (from the top). Psychology behind Parabolic Arc Patterns Parabolic Arc patterns consist of both panic buying and panic selling scenarios. As a stock breaks out and starts to rise investors tend to feel its rising cycle is never going to end and build confidence based on hysteria. This misjudgment provides a blind faith in investors as the stock chart takes exponential curve based structure. In the state of rising parabolic arc, the price continues to rise without a pause and (or) with series of upside gaps. The stock price itself could multiply double or triple or quadruple in this process every year. In its last stage, parabolic arcs move vertically as panic buying (climactic buy) in an absence of sellers on some unfounded expectations/news/events. Most of this climactic buy is driven by momentum and amateur traders, in fear of being left behind. Finally, the reality sets in with some negative event or unfavorable news, and it takes out the buyers, this creates Panic Selling. The prices reverse dramatically with large ranges as the initial buyers take profits. The traders who bought at the top also start to sell on panic. Hence, in most cases, Parabolic Arcs are great trades after it reaches its panic buying. Trading Parabolic Arc Patterns Trade: In Parabolic Arc patterns, prices move up vertically and eventually the acceleration comes to a stop and then reverses. Prices start showing lower-lows and may attempt to regain the top again. Draw a channel connecting the top and bottom of the pattern. Enter a “short” trade at the breakdown of the channel trend line connecting the pattern high and pattern lows. Target: Measure the distance of the rise from the base to the top of the pattern. Most Parabolic Arc patterns return to the 62-79% of its rise. 50% is the first target. Examples The following chart shows the Parabolic Arc pattern formation in current USDCAD (weekly) from 2012 to 2016. Here are some of the key points and how it is traded.
Trading Parabolic Arcs Parabolic Arc patterns are not quite easy to trade. As they are really long-term patterns (years to decades) and there is a fear associated with trading them. I consider these patterns only for shorting rather than trading upside. When prices are rising, there is a fear associated with shorting as prices can rise asymptotically for extended periods of time. We have built proprietary algorithms to detect these patterns and built various trading theories on how to trade them. Most Parabolic arc patterns do return to 50-62% of its prior rise. Here are some examples. EXAMPLES Following chart shows current EFX Parabolic Arc. ● The above chart shows CMG chart and its trade. CMG traded in Parabolic Arc from 2008 to 2017 from a low of $36 to a high of $758. Once Parabolic Arc is completed, a short trade signal is given below $630 with a price target between $311 to $397.
Current Examples Current Examples
PlatoAlgo. Performance Report (12/01/17) Short/Medium Term, Not for Sale or Lease.
Monty Algo. Performance (12/01/2017) Long Term, NOT for Lease or Sale
Symbols Universe
Symbol Universe of Stocks/ETFs
Symbols Universe
Books/Websites/Software
Poster 24” x 36” (100 lb. Gloss Paper) 30 illustrated patterns with Entries, Stops and Targets Pattern Conditions & Trading Rules $19.95 (FREE Shipping in the US) suriNotes.com PATTERNS | PRODUCTS | RESEARCH | BLOG Please send comments and suggestions to suriNotes@gmail.com
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