As of 08/12/2022
  Indus: 33,761 +424.38 +1.3%  
  Trans: 15,147 +74.16 +0.5%  
  Utils: 1,042 +15.91 +1.6%  
  Nasdaq: 13,047 +267.38 +2.1%  
  S&P 500: 4,280 +72.88 +1.7%  
YTD
-7.1%  
-8.1%  
 +6.2%  
-16.6%  
-10.2%  
  Targets    Overview: 07/28/2022  
  Up arrow34,500 or 31,850 by 09/01/2022
  Up arrow16,300 or 14,300 by 09/01/2022
  Up arrow1,075 or 990 by 09/01/2022
  Up arrow13,600 or 12,000 by 09/01/2022
  Up arrow4,325 or 4,000 by 09/01/2022
CPI (updated daily): Arrows on 7/15/22
As of 08/12/2022
  Indus: 33,761 +424.38 +1.3%  
  Trans: 15,147 +74.16 +0.5%  
  Utils: 1,042 +15.91 +1.6%  
  Nasdaq: 13,047 +267.38 +2.1%  
  S&P 500: 4,280 +72.88 +1.7%  
YTD
-7.1%  
-8.1%  
 +6.2%  
-16.6%  
-10.2%  
  Targets    Overview: 07/28/2022  
  Up arrow34,500 or 31,850 by 09/01/2022
  Up arrow16,300 or 14,300 by 09/01/2022
  Up arrow1,075 or 990 by 09/01/2022
  Up arrow13,600 or 12,000 by 09/01/2022
  Up arrow4,325 or 4,000 by 09/01/2022
CPI (updated daily): Arrows on 7/15/22

Bulkowski's Newport (NEWP) Trading Quiz

Released 2/22/2022.

NEWP: 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
chart pattern

What chart patterns can you find? Look for the following (if you find others, great!): Big W, 2 double bottoms, 1 three rising valleys, rounded bottom, double top, 2 descending triangles.

The answer is on the next slide.
2 / 3
chart pattern

AADT, AADB, EADB (maybe AADB?) are Adam and Eve variations of double tops and bottoms. 1, 2, and 3 are the three rising valleys chart pattern, although you can find others. The rounded bottom is the big turn in the middle of the chart. It's not exactly smooth, is it? The Big W shows a steep drop on the left side of the pattern, going into the Eve & Adam double bottom.

The AADB has confirmed.


Question 1: Do you buy, short, or avoid trading this stock?
Question 2: What is your price target?
Question 3: What is your stop loss price?
See the next slide for an answer.
3 / 3
chart pattern

Answer 1 (buy?): Buy because of the upward breakout but recognize that the rise may be limited by overhead resistance at the site of the Big W peaks (only the right one appears).

Answer 2 (target?): Overhead resistance at the big W peaks, about 19.

Answer 3: The bottom of the double bottom places the stop 13.5% away. That's too far. A volatility stop is closer at 10.8% away, or 14.61. The red line shows the stop location.

Price climbed to the top of the Big W, paused, and then it continued up in a final push to the summit at 22. From there, it was downhill until price returned to the price of the double bottom.

The End.

See Also

 
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