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All you wanted to know about channel patterns

Moving averages have a great role in the channel breakout

Topics
Chart Reading | stocks technical analysis | stock market trading

Avdhut Bagkar  |  Mumbai 

A channel is a combination of trendlines that helps traders identify the price move and even assists in determining the target levels to optimise profitability. It is a line drawn on respective highs or lows of trendlines to exhibit the price movement.

Over the years, trendlines have facilitated in showing the support and resistance levels to build a profitable trading model. Types -- Ascending Channel is a formation pictured as an upward sloping trendline. This pattern is quite familiar as “Rising channel Pattern” which demonstrates the gradual rise of stock prices ...

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First Published: Thu, November 12 2020. 08:39 IST
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