suriNotes.com’s Feb. 12, 2018 Chart Patterns & Algo. Trader A Weekly Publication Trading Parabolic Arc Patterns Chart Patterns & Algorithmic Trader 2018 ALL RIGHTS RESERVED

No part of this document may be reproduced or transmitted without the express written consent of the suriNotes.com or Suri Duddella.

This document relies on sources and information reasonably believed to be accurate, but neither the author nor publisher guarantees accuracy or completeness.

The examples in this document could be considered hypothetical trades.

The CFTC warns that:

HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR TO ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS.

COPYRIGHT © 2018 – suriNotes.com Data & Charts are created by TradeStation Software from TradeStation Securities. Published in the United States of America

V19 Disclaimer:

All the material in this document is provided as Educational Material only. NONE of the chart patterns or chart setups or all other material in this document are trade recommendations. Trading is risky. You are 100% responsible for your own trading.

Trading is risky. You are 100% responsible for your own trading. suriNotes.com or Suri Duddella, specifically disclaims any and all express and implied warranties. Your trades may entail substantial loss. Nothing in this document should be construed as a recommendation to buy or sell any security or other instrument, or a determination that any trade is suitable for you.

Chart Patterns and other material in this document are Auto generated in TradeStation software and we try our best to check for errors and data consistency, but they may still consist of data or algorithmic errors. Market Quotes

“If you keep detailed records you can learn from past trades and increase your chances of recognizing your strengths and weaknesses.” – Tony Oz

“If you already know that the terrible anxiety of financial loss would be more than you can mentally and emotionally tolerate, this concern must be weighed heavily in the risks you take.” - Steven Hendlin

"Don't concentrate on winning; concentrate on the process that creates winning.” - Mark Boucher Table of Contents

US Markets Patterns Gallery Chart Patterns Energy & Oil Stocks Stocks/Futures/Commodities/FX Earnings Next Week/Charts Watch Lists Bullish/Bearish, Key Supp/Resistance/Pivots Charts Charts Weekly Relative Performances ALGORITHMIC TRADER Trading Parabolic Arc Patterns Algorithmic Trades Symbols Universe Books/Websites/Software Chart Links ■Major Market Indexes Trends 10 ■Gold, Silver, Oil and 10 Yr Notes 11 ■TRAN, VIX, DXY, @TY 12 ■@QM Inv. H&S Pattern 13 ■@GC Cup & Handle Pattern 14 ■@GC (W) ABC Bullish Pattern 15 ■@TY ABC Bearish Pattern 16 ■BRTI Parabolic Arc Pattern 17 ■$TRAN ABC Bullish Pattern 18 ■Sector ETF Charts 19 ■ADBE Parabolic Arc Pattern 23 ■CRM ABC Bullish Pattern 24 ■DATA ABC Bullish Pattern 25 ■HDP Inv. H&S Pattern 26 ■SPLK Cup & Handle Pattern 27 ■WDC ABC Bullish Pattern 28 ■SAP AB=CD Pattern 29 ■SWKS Cup & Handle Pattern 31 ■KORS Bullish Dragon Pattern 32 ■AAPL 3-Drives Pattern 33 ■ADSK Head and Shoulders Pattern 34 ■AVGO Parabolic Arc Pattern 35 ■AVGO ABC Bearish Pattern 36 ■BA Parabolic Arc Pattern 37 ■GLD Cup & Handle Pattern 38 ■TWTR Double Bottom Pattern 39 ■JD Cup & Handle Pattern 40 ■OLED Mega Phone Pattern 41 ■IIF ABC Bearish Pattern 42 ■NTES Parabolic Arc Pattern 43 ■PCLN Parabolic Arc Pattern 44 ■X Cup & Handle Pattern 45 ■BIDU AB=CD Pattern 49 ■FOSL ABC Bullish Pattern 50 ■GRPN Cup & Handle Pattern 51 ■KO Cup & Handle Pattern 52 ■OXY Dragon Pattern 53 ■PEP Cup & Handle Pattern 54 ■UA ABC Bullish Pattern 55 ■@CD ABC Bullish Pattern 59 ■@CL Inv. H&S Pattern 60 ■@DX Head and Shoulders Pattern 61 ■@EC Inv. H&S Pattern 62 ■@HG 3-Drives Pattern 63 ■@JY Inv. H&S Pattern 64 ■AUDJPY H&S Pattern 68 ■GBPAUD ABC Bullish Pattern 69 ■GBPCAD Double Bottom Pattern 70 ■USDCAD ABC Bullish Pattern 71 ■USDJPY Head and Shoulders Pattern 72 ■USDSGD AB=CD Bullish Pattern 73 ■QM Fib. Zone Pivots 77 ■@ES Gap Chart 81 ■YM Gap Chart 83 Major Indexes Major Indexes

Major Indexes %Chg YTD Chart Patterns & Algorithmic Trader (10)

Major Market Indexes Trends

All four major market indexes (Weekly) charts are showing strong eSix trends.

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Gold, Silver, Oil and 10 Yr Notes

Gold regained 200 SMA as it trades higher above 200 MA. Silver and Oil are below its 200 MA and Treasury Notes is just below 200 MA.

www.surinotes.com Chart Patterns & Algorithmic Trader (12)

TRAN, VIX, DXY, @TY

Transportation Index, VIX, U.S. Dollar Index (Weekly) and eSIX trend indicator.

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@QM Inv. H&S Pattern

@QM (D) is trading in Inv. H&S Pattern. Long entry above 51.615, Stop below 49.115 (2.500), Target1 Zone: 56.68 to 58.06, Target2 Zone: 62. to 64.9, Target3 zone: $70-$73.

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@GC Cup & Handle Pattern

$@GC (D) is trading in Cup & Handle Pattern. Entry above breakout level: 1372.0, Handle Low: 1335.5, 28.38% below breakout level. T1: 1451 to 1473 T2: 1535 to 1580

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@GC (W) ABC Bullish Pattern

Reviewed in CPAT 09/18/17

@GC (W) ABC Bullish Pattern Long Entry above 1212.9, Stop below 1149.2 (-63.7), Target1 Zone: 1352 to 1407, Target2 Zone: 1565 to 1680

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@TY ABC Bearish Pattern

Reviewed in CPAT 1/22/18

@TY (10 Yr U.S. Treasury Notes) is trading in ABC Bearish pattern.

www.surinotes.com Chart Patterns & Algorithmic Trader (17)

BRTI Parabolic Arc Pattern

Reviewed in CPAT 1/08/18

$BRTI (CME’s Bitcoin Index) is trading in Parabolic Arc pattern. Targets: 10758, 5650-8610.

www.surinotes.com Chart Patterns & Algorithmic Trader (18)

$TRAN ABC Bullish Pattern

$TRAN (Dow Jones Transportation Index) is forming a new ABC Bullish pattern. Underlying trend (eSIX) is bearish.

www.surinotes.com Chart Patterns & Algorithmic Trader (19)

Sector ETF Charts

Weekly Sector ETF Charts

www.surinotes.com Big Data Stocks (YTD%)

Chart Patterns & Algorithmic Trader (23)

ADBE Parabolic Arc Pattern

Reviewed in CPAT 1/22/18

$ADBE (W) is trading in Parabolic Arc from 08/19/2011 (low: 22.67) to 02/02/2018 (high: 204.45). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode.

www.surinotes.com Chart Patterns & Algorithmic Trader (24)

CRM ABC Bullish Pattern

Reviewed in CPAT 11/20/17

CRM (W) ABC Bullish Pattern Long Entry above 73.71, Stop below 66.42 (-7.29), Target1 Zone: 86.1 to 91.5, Target2 Zone: 106.9 to 118.1

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DATA ABC Bullish Pattern

Reviewed in CPAT 1/15/18

DATA (D) ABC Bullish Pattern Long Entry above 70.56, Stop below 68.36 (-2.20), Target1 Zone: 81.6 to 85.2, Target2 Zone: 95.5 to 103.0

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HDP Inv. H&S Pattern

Reviewed in CPAT 10/16/17

HDP (D) is trading in Inv. H&S Pattern. Long entry above 11.59, Stop below 10.34 (1.25), Target1 Zone: 14.8 to 15.7, Target2 Zone: 18.2 to 20.0

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SPLK Cup & Handle Pattern

Reviewed in CPAT 10/23/17

SPLK (Daily) is trading in Cup & Handle Pattern. Cup and Handle Patterns are valid only when price closes above Breakout levels. Breakout level: 69.33, Mid Cup Level: 61.70, T1: 78.5 to 81.1 T2: 88.4 to 93.6

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WDC ABC Bullish Pattern

WDAY (W) ABC Bullish Pattern Long Entry above 69.44, Stop below 65.78 (-3.66), Target1 Zone: 94.2 to 102.0, Target2 Zone: 124.2 to 140.4

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SAP AB=CD Pattern

SAP (Weekly) is trading in AB=CD pattern. AB=CD pattern completion level is $121, $137-144.

www.surinotes.com Chart Patterns Stocks/Options/Indexes Chart Patterns & Algorithmic Trader (31)

SWKS Cup & Handle Pattern

Reviewed in CPAT 09/18/17

SWKS (Weekly) is trading in Cup & Handle pattern. Cup & Handle patterns are traded when price closes above breakout level. Current breakout level: $112.88. Handle low is $93.

www.surinotes.com Chart Patterns & Algorithmic Trader (32)

KORS Bullish Dragon Pattern

Reviewed in CPAT 12/18/17

KORS (Weekly) is trading in Bullish Dragon pattern. Targets: $73-84

www.surinotes.com Chart Patterns & Algorithmic Trader (33)

AAPL 3-Drives Pattern

AAPL (Daily) is trading in 3-Drives (Bearish) pattern.

www.surinotes.com Chart Patterns & Algorithmic Trader (34)

ADSK Head and Shoulders Pattern

Reviewed in CPAT 10/16/17

ADSK (D) is trading in H&S Pattern (F). Short entry below 108.65, Stop above 113.94 (-5.29), Target1 Zone: 94.8 to 91.0,

www.surinotes.com Chart Patterns & Algorithmic Trader (35)

AVGO Parabolic Arc Pattern

Reviewed in CPAT 10/30/17

AVGO (W) is trading in Parabolic Arc from 09/10/2010 (low: 18.41) to 02/02/2018 (high: 285.68). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode.

www.surinotes.com Chart Patterns & Algorithmic Trader (36)

AVGO ABC Bearish Pattern

Reviewed in CPAT 02/05/18

AVGO is trading in ABC Bearish pattern. Short entry is below $267, first target range: $249-254, Second Targets: $221 to $233.

www.surinotes.com Chart Patterns & Algorithmic Trader (37)

BA Parabolic Arc Pattern

Reviewed in CPAT 1/15/18

BA (W) is trading in Parabolic Arc from 02/12/2016 (low: 102.10) to 02/02/2018 (high: 361.45). Parabolic Arc patterns are long-term patterns, but most of the upside parabolic patterns return to at least 50-62% of its prior rise in a correction mode.

www.surinotes.com Chart Patterns & Algorithmic Trader (38)

GLD Cup & Handle Pattern

Reviewed in CPAT 2/05/18

GLD (D) is trading in Cup & Handle Pattern. Entry above breakout level: 128.32, Handle Low: 124.36, 36.26% below breakout level. T1: 135.1 to 136.9 T2: 142.2 to 146.0

www.surinotes.com Chart Patterns & Algorithmic Trader (39)

TWTR Double Bottom Pattern

Reviewed in CPAT 12/18/17

TWTR is trading in a Double Bottom and Rectangle Channel patterns. Double Pattern and Channel Targets are: $36-38.

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JD Cup & Handle Pattern

JD (Daily) is forming Cup & Handle pattern. Cup & Handle patterns are valid only when price trades above breakout level ($49). Cup Mid level: $42.39. Targets: $54, $57-59.

www.surinotes.com Chart Patterns & Algorithmic Trader (41)

OLED Mega Phone Pattern

Reviewed in CPAT 1/29/18

OLED (Daily) is trading in Mega Phone pattern. OLED lower megaphone support level is at $138-142.

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IIF ABC Bearish Pattern

IIF (Daily) is trading in ABC Bearish Pattern. ABC Bearish short-entry is below $34.59, Targets: $31.6 to $32.4, $28-29.55

www.surinotes.com Chart Patterns & Algorithmic Trader (43)

NTES Parabolic Arc Pattern

NTES (W) is trading in Parabolic Arc pattern.

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PCLN Parabolic Arc Pattern

PCLN (Weekly) is trading in Parabolic arc pattern.

www.surinotes.com Chart Patterns & Algorithmic Trader (45)

X Cup & Handle Pattern

Reviewed in CPAT 1/29/18

X is trading in Cup & Handle pattern. Breakout level: $41.83.

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BIDU AB=CD Pattern

BIDU (Daily) is trading in ABC Bearish pattern. Short entry level is below 251 with targets at $226 to 235 and $185-202.

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FOSL ABC Bullish Pattern

FOSL (D) ABC Bullish Pattern Long Entry above 8.20, Stop below 7.15 (-1.05), Target1 Zone: 10.5 to 11.4, Target2 Zone: 14.0 to 15.9

www.surinotes.com Chart Patterns & Algorithmic Trader (51)

GRPN Cup & Handle Pattern

Reviewed in CPAT 02/05/18

GRPN (Daily) is trading in Cup & Handle pattern. Breakout level is above $5.94.

www.surinotes.com Chart Patterns & Algorithmic Trader (52)

KO Cup & Handle Pattern

Reviewed in CPAT 1/08/17

KO (Daily) is trading in Cup & Handle pattern. KO earnings: 2/16/18. Breakout level (47.25) and Handle Low: 43.39, 51.59% below breakout level. If price breaks above the breakout level, T1: 51.6 to 52.8

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OXY Dragon Pattern

OXY (W) is trading in Bullish Dragon pattern. OXY Earnings: 2/13/18. Dragon patterns are traded from long side when price closes above hump level (C: 78.54).

www.surinotes.com Chart Patterns & Algorithmic Trader (54)

PEP Cup & Handle Pattern

Reviewed in CPAT 1/29/18

PEP (D) is trading in Cup & Handle Pattern. PEP Earnings: 2/13/18 C&H patterns are traded when price closes above breakout level: 119.39

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UA ABC Bullish Pattern

Reviewed in CPAT 10/16/17

UA (D) ABC Bullish Pattern Long Entry above 12.12, Stop below 11.40 (-0.72), Target1 Zone: 14.7 to 15.6, Target2 Zone: 18.2 to 20.0

www.surinotes.com Chart Patterns Futures & Commodities Futures D, W, M, YTD Chg% Futures Weekly Performance Chart Patterns & Algorithmic Trader (59)

@CD ABC Bullish Pattern

Reviewed in CPAT 11/13/17

@CD (D) ABC Bullish Pattern Long Entry above 0.78030, Stop below 0.77520 (- 0.00510), Target1 Zone: 0.8385 to 0.8557, Target2 Zone: 0.9053 to 0.9411

www.surinotes.com Chart Patterns & Algorithmic Trader (60)

@CL Inv. H&S Pattern

Reviewed in CPAT 10/02/17

@CL (D) is trading in Inv. H&S Pattern. Long entry above 51.54, Stop below 49.04 (2.50), Target1 Zone: 56.6 to 58.0, Target2 Zone: 61.9 to 64.8, Target3: $70-72.95

www.surinotes.com Chart Patterns & Algorithmic Trader (61)

@DX Head and Shoulders Pattern

Reviewed in CPAT 1/29/18

@DX (D) is trading in H&S Pattern (F). Short entry below 92.205, Stop above 93.015 (-0.810), Target1 Zone: 90.67 to 90.26, Target2 Zone: 89.06 to 88.19

www.surinotes.com Chart Patterns & Algorithmic Trader (62)

@EC Inv. H&S Pattern

Reviewed in CPAT 1/15/18

@DX (D) is trading in H&S Pattern (F). Short entry below 92.205, Stop above 93.015 (-0.810), Target1 Zone: 90.67 to 90.26, Target2 Zone: 89.06 to 88.19

www.surinotes.com Chart Patterns & Algorithmic Trader (63)

@HG 3-Drives Pattern

@HG (Copper Futures) is trading in 3-Drives (Bearish) pattern.

www.surinotes.com Chart Patterns & Algorithmic Trader (64)

@JY Inv. H&S Pattern

Reviewed in CPAT 12/11/17

@JY (D) is trading in Inv. H&S Pattern (F). Long entry above 0.90285, Stop below 0.89345 (0.00940), Target1 Zone: 0.9183 to 0.9225, Target2 Zone: 0.9345 to 0.9433

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AUDJPY H&S Pattern

Reviewed in CPAT 10/16/17

AUDJPY (D) is trading in H&S Pattern (F). Short entry below 85.446, Stop above 87.264 (-1.819), Target1 Zone: 82.45 to 81.64, Target2 Zone: 79.29 to 77.59

www.surinotes.com Chart Patterns & Algorithmic Trader (69)

GBPAUD ABC Bullish Pattern

Reviewed in CPAT 1/29/18

GBPAUD (W) ABC Bullish Pattern Long Entry above 1.65501, Stop below 1.61605 (-0.03896), Target1 Zone: 1.7328 to 1.7646, Target2 Zone: 1.8560 to 1.9222

www.surinotes.com Chart Patterns & Algorithmic Trader (70)

GBPCAD Double Bottom Pattern

Reviewed in CPAT 12/18/17

GBPCAD (W) ABC Bullish Pattern Long Entry above 1.63029, Stop below 1.58356 (-0.04673), Target1 Zone: 1.7145 to 1.7500, Target2 Zone: 1.8525 to 1.9267

www.surinotes.com Chart Patterns & Algorithmic Trader (71)

USDCAD ABC Bullish Pattern

USDCAD (D) ABC Bullish Pattern Long Entry above 1.23751, Stop below 1.22454 (-0.01297), Target1 Zone: 1.2776 to 1.2921, Target2 Zone: 1.3336 to 1.3637

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USDJPY Head and Shoulders Pattern

USDJPY (D) is trading in H&S Pattern (F). Short entry below 111.646, Stop above 112.696 (-1.050), Target1 Zone: 109.74 to 109.22, Target2 Zone: 107.73 to 106.65

www.surinotes.com Chart Patterns & Algorithmic Trader (73)

USDSGD AB=CD Bullish Pattern

USDSGD (D) is trading in AB=CD Bullish Pattern.

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ES Fib. Zone Pivots

@ES Fib. Zone Pivots

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NQ Fib. Zone Pivots

NQ Fib. Zone Pivots

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QM Fib. Zone Pivots

QM Fib. Zone Pivots

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GC Fib. Zone Pivots

@GC Fib. Zone Pivots

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YM Fib. Zone Pivots

YM Fib. Zone Pivots

www.surinotes.com GAP Charts Shows filled and unfilled gap levels Chart Patterns & Algorithmic Trader (81)

@ES Gap Chart

@ES Gap chart with filled and unfilled Gaps with at least 1 ATR Gap.

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@NQ Gap Chart

@NQ Gap chart with filled and unfilled Gaps with at least 1 ATR Gap.

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YM Gap Chart

@YM Gap chart with filled and unfilled Gaps with at least 1 ATR Gap.

www.surinotes.com Weekly Relative Performances Sector & Indexes Relative Performances

Winners:

Losers: Energy,Financials,Healthcare Dow 30 Weekly Relative Performance Select Sectors Weekly Performance Country ETFs Weekly Performance Commodity ETFs Weekly Performance Watch Lists Relative Strength Bullish/Bearish Lists NH/NL Oversold/Overbought Key Retracements Sector ETF %DWMY Relative Strength Ranks (200) RS Ranks Sorted (Alpha) Bullish/Bearish List 52 Week Highs and Lows D%, W%, M%, YTD% Algorithmic Trading

Algo. Techniques

Algo. Reports

Current Algorithms

ALL RETURNS POSTED ON THIS PUBLICATION ARE HYPOTHETICAL PERFORMANCE GENERATED BY COMPUTERIZED SYSTEM AND THEY ARE NOT ACTUAL TRADE REPORTS. HYPOTHETICAL PERFORMANCE RESULTS HAVE MANY INHERENT LIMITATIONS, SOME OF WHICH ARE DESCRIBED BELOW. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. IN FACT, THERE ARE FREQUENTLY SHARP DIFFERENCES BETWEEN HYPOTHETICAL PERFORMANCE RESULTS AND THE ACTUAL RESULTS SUBSEQUENTLY ACHIEVED BY ANY PARTICULAR TRADING PROGRAM. ONE OF THE LIMITATIONS OF HYPOTHETICAL PERFORMANCE RESULTS IS THAT THEY ARE GENERALLY PREPARED WITH THE BENEFIT OF HINDSIGHT. IN ADDITION, HYPOTHETICAL TRADING DOES NOT INVOLVE FINANCIAL RISK, AND NO HYPOTHETICAL TRADING RECORD CAN COMPLETELY ACCOUNT FOR THE IMPACT OF FINANCIAL RISK IN ACTUAL TRADING. FOR EXAMPLE, THE ABILITY TO WITHSTAND LOSSES OR ADHERE TO A PARTICULAR TRADING PROGRAM IN SPITE OF TRADING LOSSES ARE MATERIAL POINTS WHICH CAN ALSO ADVERSELY AFFECT ACTUAL TRADING RESULTS. THERE ARE NUMEROUS OTHER FACTORS RELATED TO THE MARKETS IN GENERAL OR TO THE IMPLEMENTATION OF ANY SPECIFIC TRADING PROGRAM WHICH CANNOT BE FULLY ACCOUNTED FOR IN THE PREPARATION OF HYPOTHETICAL PERFORMANCE RESULTS AND ALL OF WHICH CAN ADVERSELY AFFECT ACTUAL TRADING RESULTS. negative event or unfavorable news, and it takes out the Trading Parabolic Arc buyers, this creates Panic Selling. The prices reverse dramatically with large ranges as the initial buyers take profits. The traders who bought at the top also start to sell on Patterns panic. Hence, in most cases, Parabolic Arcs are great trades by Suri Duddella

Parabolic Arc chart patterns form when a steep rise in prices caused by irrational buying and intense speculation. Parabolic Arc patterns are rare, but they are reliable and are generated in mega bull trends. These patterns trend gradually making higher highs and lower lows in the beginning stages but can be volatile in the exhaustion and reversal stages. Irrational buying in the public generates a strong rally to push prices vertically, followed by a steep sell-off. Examples of this market types are the NASDAQ bullish markets during 1990- 2000 (retraced 80%) and Gold prices from 2000-2011 after it reaches its panic buying. (retraced 62%).

Parabolic Arc is a reversal pattern and has a very predictable Trading Parabolic Arc Patterns outcome. Although these patterns are predictable, they are Trade: In Parabolic Arc patterns, prices move up vertically and relatively difficult to trade since the is eventually the acceleration comes to a stop and then bullish and may be fairly tough to point reversals to trade. reverses. Prices start showing lower-lows and may attempt to Most Parabolic Arc patterns have a significant correction of regain the top again. Draw a channel connecting the top and 62-79% of its price rise (from the top). bottom of the pattern. Enter a “short” trade at the breakdown of the channel trend line connecting the pattern high and Psychology behind Parabolic Arc pattern lows.

Patterns Target: Measure the distance of the rise from the base to the top of the pattern. Most Parabolic Arc patterns return to the Parabolic Arc patterns consist of both panic buying and panic 62-79% of its rise. 50% is the first target. selling scenarios. As a stock breaks out and starts to rise investors tend to feel its rising cycle is never going to end and build confidence based on hysteria. This misjudgment provides a blind faith in investors as the stock chart takes Examples exponential curve based structure. In the state of rising parabolic arc, the price continues to rise without a pause and The following chart shows the Parabolic Arc pattern (or) with series of upside gaps. The stock price itself could formation in current USDCAD (weekly) from 2012 to 2016. multiply double or triple or quadruple in this process every Here are some of the key points and how it is traded. year.

In its last stage, parabolic arcs move vertically as panic buying (climactic buy) in an absence of sellers on some unfounded expectations/news/events. Most of this climactic buy is driven by momentum and amateur traders, in fear of being left behind. Finally, the reality sets in with some Trading Parabolic Arcs CURRENT EXAMPLES

Parabolic Arc patterns are not quite easy to trade. As they are really long-term patterns (years to decades) and there is a fear associated with trading them. I consider these patterns only for shorting rather than trading upside. When prices are rising, there is a fear associated with shorting as prices can rise asymptotically for extended periods of time.

We have built proprietary algorithms to detect these patterns and built various trading theories on how to trade them. Most Parabolic arc patterns do return to 50-62% of its prior rise. Here are some examples.

The above chart shows CMG chart and its trade. CMG traded in Parabolic Arc from 2008 to 2017 from a low of $36 to a high of $758. Once Parabolic Arc is completed, a short trade signal is given below $630 with a price target between $311 to $397. Current Examples Plato Algo. Performance Report (02/09/18) Short/Medium Term, Not for Sale or Lease. Monty Algo. Performance (02/2/2018) Long Term, NOT for Lease or Sale Symbols Universe Symbol Universe of Stocks/ETFs Symbols Universe Books/Websites/Software

Poster 24” x 36” (100 lb. Gloss Paper) 30 illustrated patterns with Entries, Stops and Targets Pattern Conditions & Trading Rules $19.95 (FREE Shipping in the US)

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