As of 03/27/2020
  Indus: 21,637 -915.39 -4.1%  
  Trans: 7,699 -346.29 -4.3%  
  Utils: 759 +1.01 +0.1%  
  Nasdaq: 7,502 -295.16 -3.8%  
  S&P 500: 2,541 -88.60 -3.4%  
YTD
-24.2%  
-29.4%  
-13.7%  
-16.4%  
-21.3%  
  Targets    Overview: 03/15/2020  
  Down arrow19,000 or 25,600 by 04/15/2020
  Down arrow6,700 or 9,000 by 04/15/2020
  Down arrow600 or 800 by 04/15/2020
  Down arrow7,000 or 8,400 by 04/15/2020
  Down arrow2,300 or 2,900 by 04/15/2020
CPI (updated daily): Arrows on 3/27/20
As of 03/27/2020
  Indus: 21,637 -915.39 -4.1%  
  Trans: 7,699 -346.29 -4.3%  
  Utils: 759 +1.01 +0.1%  
  Nasdaq: 7,502 -295.16 -3.8%  
  S&P 500: 2,541 -88.60 -3.4%  
YTD
-24.2%  
-29.4%  
-13.7%  
-16.4%  
-21.3%  
  Targets    Overview: 03/15/2020  
  Down arrow19,000 or 25,600 by 04/15/2020
  Down arrow6,700 or 9,000 by 04/15/2020
  Down arrow600 or 800 by 04/15/2020
  Down arrow7,000 or 8,400 by 04/15/2020
  Down arrow2,300 or 2,900 by 04/15/2020
CPI (updated daily): Arrows on 3/27/20

Bulkowski on Trendline Mirrors

 

Trendline Mirrors: Summary

Trendline mirrors seem to reflect price across a trendline. That's useful when trying to predict how far price will move in the future.

$ $ $

My book, Trading BasicsTrading Basics: Evolution of a Trader book., shown on the left, covers trendline mirrors starting on page 111.

If you click on the above link and then buy the book (or anything) while at Amazon.com, the referral will help support this site. Thanks.

-- Tom Bulkowski

$ $ $

Picture of Boeing on the daily scale.

The figure shows an example of a trendline mirror in Boeing on the daily scale.

Notice how the vertical distance at A mirrors the drop to D, not in shape but in extent. The reflection isn't a smooth one, but that's ok. It's the distance that interests us most (well, me, anyway). The BA move upward reflects across the trendline almost exactly to CD.

To use this method, starting from the breakout, C, find the highest distance from the most recent peak to the trendline directly below. That's the AB distance.

From the breakout apply this distance downward to get a price target (the price at C minus the AB distance). That method works 63% of the time. Thus, you can multiply the AB height by 63% and subtract that from the breakout (C) to get a target that price will reach over 90% of the time. Many of you will know this technique as the trendline measure rule. Look for trendline mirrors in finer stores nationwide.

-- Thomas Bulkowski

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See Also

 

Support this site! Clicking any of the books (below) takes you to Amazon.com. If you buy ANYTHING while there, they pay for the referral.

My novels:  Bumper's Story Head's Law

Chart Patterns: After the Buy Getting Started in Chart Patterns, Second Edition Trading Basics Fundamental Analysis and Position Trading Swing and Day Trading Visual Guide to Chart Patterns Encyclopedia of Candlestick Charts Encyclopedia of Chart Patterns 2nd Edition Trading Classic Chart Patterns

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