As of 07/23/2024   Indus: 40,358 -57.35 -0.1%     Trans: 15,656 -244.42 -1.5%     Utils: 952 -5.51 -0.6%     Nasdaq: 17,997 -10.22 -0.1%     S&P 500: 5,556 -8.67 -0.2% YTD  +7.1%   -1.5%    +8.0%    +19.9%    +16.5% Overview: 07/12/2024     41,500 or 40,000 by 08/01/2024   16,500 or 15,600 by 08/01/2024   1,000 or 910 by 08/01/2024   19,200 or 17,800 by 08/01/2024   5,750 or 5,500 by 08/01/2024
 As of 07/23/2024   Indus: 40,358 -57.35 -0.1%     Trans: 15,656 -244.42 -1.5%     Utils: 952 -5.51 -0.6%     Nasdaq: 17,997 -10.22 -0.1%     S&P 500: 5,556 -8.67 -0.2% YTD  +7.1%   -1.5%    +8.0%    +19.9%    +16.5% Overview: 07/12/2024     41,500 or 40,000 by 08/01/2024   16,500 or 15,600 by 08/01/2024   1,000 or 910 by 08/01/2024   19,200 or 17,800 by 08/01/2024   5,750 or 5,500 by 08/01/2024

Released 5/10/2021.

## ALK: 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.

1 / 3

What chart patterns can you find? Look for the following: Big W, double top, double bottom, head-and-shoulders top, symmetrical triangle, descending scallop, plus one ascending and inverted scallop.

Answers are on the next slide.
2 / 3

AADT is an Adam & Adam double top. The big W spans the Eve & Eve double bottom and ends at the head of the Head-and-shoulders top. The symmetrical triangle shows an upward breakout.

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 2: Measure the height of the triangle and add it to the breakout price. The result is the target and price reaches or exceeds the target 66% of the time, so consider multiplying the height by 66% and then adding it to the breakout price. The breakout price is the price at which the stock pierces one of the triangle trendlines.

Answer 3: The bottom of the triangle is usually a good stop location and that also agrees with a volatility stop location. Here's the details as of the day before the breakout: Volatility stop: \$27.20 -8.4%. 2x volatility: \$1.71 Minor low stop: 28.22 -5.0% on 03/21/2005.

If you bought the stock, you'd have taken a loss. If you still held on as it declined, that would be a mistake. The day after the prior chart, price peaked at 31.40 and dropped to a low of 25.55, for a potential loss of 19%. Price did recover, but you should not have ridden out the decline. Overhead resistance at line A formed a solid wall accompanied by high volume, a potent resistance level.

The End.

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