During the trading process, mastering the 6 core patterns of main force dynamics can effectively help us make judgments!
1. Top Divergence (Price makes a new high but volume does not follow)
2. Bottom Divergence (Price makes a new low but volume expands against the trend)
3. Trendline Breakthrough (Key point for direction selection)
4. Range Breakthrough (Precursor to a trend change)
5. Support and Resistance (The dividing line between bulls and bears)
6. Accelerated Trend (Short-term breakout signal)
By recognizing classic patterns, we can more accurately judge the transition of bullish and bearish forces, grasp turning points or continuation opportunities in trends. However, it should be noted that technical analysis is not infallible and should be combined with an overall assessment of the market environment and fundamentals!
