As of 12/01/2023   Indus: 36,246 +294.61 +0.8%     Trans: 15,464 +445.25 +3.0%     Utils: 876 +9.25 +1.1%     Nasdaq: 14,305 +78.81 +0.6%     S&P 500: 4,595 +26.83 +0.6% YTD  +9.3%    +15.5%   -9.4%    +36.7%    +19.7% Overview: 11/29/2023     34,500 or 36,400 by 12/15/2023   14,500 or 15,800 by 12/15/2023   900 or 825 by 12/15/2023   13,700 or 14,450 by 12/15/2023   4,450 or 4,650 by 12/15/2023
 As of 12/01/2023   Indus: 36,246 +294.61 +0.8%     Trans: 15,464 +445.25 +3.0%     Utils: 876 +9.25 +1.1%     Nasdaq: 14,305 +78.81 +0.6%     S&P 500: 4,595 +26.83 +0.6% YTD  +9.3%    +15.5%   -9.4%    +36.7%    +19.7% Overview: 11/29/2023     34,500 or 36,400 by 12/15/2023   14,500 or 15,800 by 12/15/2023   900 or 825 by 12/15/2023   13,700 or 14,450 by 12/15/2023   4,450 or 4,650 by 12/15/2023

# Bulkowski's Yahoo Trading Quiz

Released 12/17/2020.

## YHOO: Quiz

Below is a slider quiz to test your trading ability. Captions appear below the pictures for guidance, so be sure to scroll down far enough to read them.

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What chart patterns can you find? Look for the following: rectangle top, descending broadening wedge, falling wedge, triple bottom if you combine the first two bottoms - it's also a Big W, ascending scallop, and simple ABC correction.
Answers are on the next slide.
2 / 3

The simple ABC correction is the mystery pattern. Think of it as a measured move down nested inside a measured move up. If you're not sure what all of that means then check my website. You won't find the ABC pattern in my Encyclopedia...

Question 1: Do you buy, short, or avoid trading this stock?
Question 2: If trading this one, what is the target price?
Question 3: If trading this one, what is the stop price?
My answers appear on the next slide.
3 / 3

Answer 1 (buy?): Buy when price closes above the trendline drawn from 4 to 5.

Answer 2 (target?): Let's assume price breaks out upward. Many will reverse at 4 and form a double top, so keep that in mind. You can use the move from 3 (third bottom of the triple bottom, in October 2002, not shown) to 4, projected upward from the low at 6, in a measured move up chart pattern. That gives a target of 28.17, which is huge. I would be more conservative. The average rise of the 2nd leg is 31%. That would place a target of 14.75 (the low at 6) x 32% = 19.50. That's still a lot but it's better than 28.

Answer 3 (stop?): If I bought now, the day after point 6's low, I'd use a volatility stop (2x volatility is \$1.11): \$13.33 for a potential loss of 10.7%.

The end.

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