Discussion of the bottoming and topping processes that often mark the reversals of downtrends and uptrends, respectively.
Definitions, illustrations and important nuances and distinctions of commonly formed classic reversal patterns.
The formation of Rectangular Bottoms (base-building) and Rectangular Tops (distribution).
Determining targets of reversal patterns based on "measured moves."
Tips for recognizing the patterns and implementing them in your trading activities (either by trading the patterns or using them to assist with trend analysis).
Pre-Requisite: Beginner and intermediate-level traders will benefit from reviewing the following Charting lessons prior to this instruction: Lesson 2-Analyzing Trends and Lesson 6-Introduction to Classic Chart Patterns.