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My understanding of a rising wedge is that it is a temporary
interruption of a falling trend, can take from 2 - 8 weeks to form,
upon completion the price can break very sharply and volume can
contract during formation. The difference in the converging lines is
that in a triagle, the lines are moving in different directions
whereas in a wedge the trendlines are both moving in the SAME
direction.
Ralph
> From: "Dr C. Roffey" <roffey@xxxxxxxxxxxxxx>
> To: <chipa@xxxxxxxxxxxxxxx>
> Cc: <metastock-list@xxxxxxxxxxxxx>
> Subject: Re: Dow Jones et al
> Date: Thu, 4 Dec 1997 18:50:53 +0200
> A rising wedge is certainly NOT a continuation pattern. It is the most
> vicious of all reversal patterns. You are confusing the rising wedge with a
> rising triangle. The normal rising wedge wipes out at least the whole of
> the wedge gains in about one third of the time taken to form the wedge.
>
> ----------
> > From: Chip Anderson <chipamy@xxxxxxxxx>
> > To: meyer@xxxxxxxxxxx; Dr C. Roffey <roffey@xxxxxxxxxxxxxx>
> > Cc: metastock-list@xxxxxxxxxxxxx
> > Subject: Re: Dow Jones et al
> > Date: Thursday, December 04, 1997 6:06 PM
> >
> > Hi Harley,
> >
> > A rising wedge is a triangle pattern formed when an up-trendline
> > (drawn by connecting successive bottoms) intersects (or appears like
> > it will intersect) a trendline connecting successive tops and the
> > intersection point is higher than the triangle's midpoint. Rising
> > wedges are traditionally interpreted as a "continuation pattern"
> > meaning that prices should continue higher at or just before the
> > trendlines meet.
> >
>
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