As of 11/22/2024
Indus: 44,297 +426.16 +1.0%
Trans: 17,367 +194.86 +1.1%
Utils: 1,067 -8.74 -0.8%
Nasdaq: 19,004 +31.23 +0.2%
S&P 500: 5,969 +20.63 +0.3%
|
YTD
+17.5%
+9.2%
+21.0%
+26.6%
+25.1%
|
 46,000 or 43,000 by 12/01/202418,000 or 16,600 by 12/01/20241,200 or 1,000 by 12/01/202420,000 or 18,400 by 12/01/20246,100 or 5,800 by 12/01/2024 |
As of 11/22/2024
Indus: 44,297 +426.16 +1.0%
Trans: 17,367 +194.86 +1.1%
Utils: 1,067 -8.74 -0.8%
Nasdaq: 19,004 +31.23 +0.2%
S&P 500: 5,969 +20.63 +0.3%
|
YTD
+17.5%
+9.2%
+21.0%
+26.6%
+25.1%
| |
|
46,000 or 43,000 by 12/01/202418,000 or 16,600 by 12/01/20241,200 or 1,000 by 12/01/202420,000 or 18,400 by 12/01/20246,100 or 5,800 by 12/01/2024 | ||
My book,
Encyclopedia of Chart Patterns Second Edition
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Extended V tops and extended V bottoms are chart patterns that are easy to spot after they have completed. They appear just like their names suggest, V-shaped or inverted V-shaped price patterns on the chart.
| Characteristic | Discussion |
| Uptrend | Look for price to make a straight-line run upward with few or no pauses, often fitting inside a channel (two parallel trendlines). |
| Reversal | Price at the top of the inverted V will form a one-day reversal, island reversal, or tail, usually on heavy volume. |
| Trendline | After the reversal, price pierces an up-sloping trendline drawn along the price lows, confirming the trend change. |
| Downtrend | Price trends down, usually at the mirror angle of the uptrend. If price climbed by 45 degrees, price will tumble following a 45 degree trend. |
| Extension | The extended V top is a variation of the V top. After price reverses at the top, price forms a flag or pennant pattern – a sideways price move that often swings upward against the downward price trend. Once the flag completes, price resumes the decline. |
Trading an extended V top is easier than trading a regular V top. When price breaks out of the flag or pennant in the extended portion of the inverted V, take a position. For downward breakouts, expect price to approach the price level of the start of the inverted V on the left. It may not reach the exact bottom, so be prepared to exit early.
The above figure shows an example of an extended V top chart pattern. Price begins the advance to the summit in early June and peaks near July. A black candle signals a reversal followed by the extension in a small congestion region that slants upward. Once the stock pierces the bottom of this region, price tumbles, approximating the angle at which price climbed to the V top.
Many of the identification guidelines are similar to the extended V top.
| Characteristic | Discussion |
| Downtrend | Look for price to make a straight-line run downward with few or no pauses, often fitting inside a channel. |
| Reversal | Price at the bottom of the V will form a one-day reversal, island reversal, or tail, usually on heavy volume, perhaps gapping upward. |
| Trendline | After the reversal, price pierces a down-sloping trendline drawn along the price tops, confirming the trend change. |
| Uptrend | Price trends up, usually at the mirror angle of the downtrend. If price dropped by 30 degrees, price will rise following a similar angle. |
| Extension | The extended V bottom is a variation on the V bottom. After price reverses at the bottom, price forms a flag or pennant pattern – a sideways price move that often swings downward against the prevailing upward price trend. Once the flag completes, price resumes the rise. |
Trade an extended V bottom once price exits the flag or pennant. Expect price to approach the price level of the left side of the V (where the decline started).
The above figure shows an example of an extended V bottom chart pattern. The decline into the pattern is unusually steep, meaning it cannot last long, and it doesn't. Price rebounds in a V-shape and then levels out, forming the extension. The extension appears on the chart as a descending triangle -- a flat base with down-sloping top. The breakout from this congestion pattern is upward and that means a powerful move up, retracing much of the drop leading into the V bottom.
-- Thomas Bulkowski
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