The Measured Move (Bullish or Bearish) consists of a three parts. The formation has: reversal advance / decline, correction / consolidation and continuation advance/ decline. This continuation pattern can not identified until the 2-d part-correction / consolidation confirmed the pattern, and it is long term and takes form over couple of months.
This Measured Move could be measure by points or percentage. Some technical analysts prefer points rather than percentage, some vise versa.
Please, find example for measured bearish move bellow, so could we see the stock price to 6.3 (points measure) or 15.18 (percentage) in long term future!?
| Reversal decline | |
| High | 49.25 |
| Low | 22.87 |
| Difference | 26.38 |
| Difference (%) | -53.56% |
| Consolidation | |
| High | 32.68 |
| Continuation decline | |
|
points |
% |
|
6.3 |
15.18 |
Its such a interesting and useful post. thanks for the sharing.
Posted by: Online Degrees | January 30, 2010 at 09:24 AM