Technical Analysis GM 4

In a head and shoulders pattern, the distance price moves after a break is usually equal to...

• One half the size of the head

• The distance from the high point of the head to the neckline

• The distance from the high point of the shoulder to the neckline

• the distance of the last five candlesticks

What do you call the chart pattern that is formed when a valley is formed, followed by an even lower valley, and then another valley equal to the first valley in a downtrend?

• Descending Triangle

• Inverse Head and Shoulder

• Double Bottom

• Falling Wedge

What do you call chart patterns that signal that the ongoing trend will likely resume?

• Reversal

• Bilateral

• Continuation

What does "bilateral" mean when talking about chart patterns?

• It means that there are two versions, a bearish and a bullish one

• It means that there is no bias as to where price is headed, the breakout can be either up or down

• It means that all chart patterns are equal

When a 20 EMA line crosses above the 50 EMA line, it indicates that there is a...

• Bullish Trend

• Bearish Trend

• Doesn't tell much

Simple Moving Average (SMA) indicator is more accurate than Exponential Moving Average (EMA) indicator when it comes to short-term trading

• True

• False

• They are the same

There is a 100 SMA and 100 EMA on the chart. Which one is the EMA?

• The red moving average

• The blue moving average

• The orange candlestick

The moving average can be used as support or resistance

• True

• False