wednesday bearitis, page-26

Mike

Don't expect the "E" wave to hit the upper line as it often doesn't.

Also keep in mind that if it breaks down, the triangle has signalled a sharp move down but also one that terminates the move.

So it will be sharp and short and the widest part of the triangle is a good measure.

Less often these triangles can break upward so the upper line is important.

Often the apex of the converging lines is a low or bounce point for the market.