Joe is the creator of the Ross hook, FX Sniper Review and has set new standards for low-risk trading with his concept of "The Law of Charts." Joe was a private trader for most of his life. In the mid 80's he shift his focus and decided to share his knowledge. After his recovery, he founded Trading Educators in 1988 to teach aspiring traders how to make profits using his trading approach. He has written 12 major books on trading. All of them have become classics and have been translated into many different languages.
Many people don't know that the charts that we stare at day after day actually follow a series of patterns. These patterns are like a book that can be read if you actually know how. The stories that the patterns tell us can at times foretell the future, in essence, if you understand what the chart patterns are trying to tell you, you will be able to know how the market will move.
There are many chart patterns, depending on your chart setup you could have candle stick patterns and get involved with things like "shooting stars" or "hang man" if you use line charts you will be exposed to a different set of fancy names and interpretations of how to read and use this knowledge.
While it is all well and good to be able to actually find out about the fancy names and see the chart patterns emerge, I think you will be more interested in knowing how to utilize this knowledge to
One chart pattern setup is called asymmetrical triangle. It basically tells you that the market is starting to narrow. This means to you that buying and selling pressures are starting to equal. With this knowledge, add on some technical indicators to see if there will be a chance of a break out soon. Now I had cases when the indicators showed up blank but the charts were screaming at me. At that point in time, what would you do?