Double Tops & Bottoms / Gaps

Question 1

Failure to take out Point B followed by a breaking of Point C constitutes a new trend. This is known as a ……

Answer 1

ambush!

Question 2

After a double top or bottom a market can be expected to …..

Answer 2

complete 200% of the previous range

Question 3

The more ….. between the tops or bottoms the …… the pattern

Answer 3

time / stronger

Question 4

Allow for a price differential of …. to ….. between tops or bottoms at similar levels

Answer 4

1-3%

Question 5

The more ….. a pattern the ……

Answer 5

symetrical / better

Question 6

The larger and stronger the double top or bottom the …..

Answer 6

more a strong trend is likely when it is either confirmed or broken

Question 7

Markets will often gap away from a …..

Answer 7

significant high or low

Question 8

If the market does not fill the gap, this is a strong sign of ….. and often marks the ……

Answer 8

weakness / of a significant change in trend

Question 9

If the gap forms support or resistance what should you do with the trend?

Answer 9

continue it in the direction of the gap

Question 10

If a market fills a gap quickly you have likely seen …..

Answer 10

a change in trend