<\/p>\n
Broadening top<\/strong> is technical analysis chart pattern describing trends of stocks, commodities, currencies, and other assets. It’ll help you\u00a0decide when to\u00a0buy stock and when to sell it.<\/p>\n Broadening Top formation appears much more frequently at tops than at bottoms. It is a difficult formation to trade in. Its formation usually has\u00a0bearish<\/em> implications.<\/p>\n It is a common saying that\u00a0smart money<\/em> is out of market in such formation and market is out of control. In its formation, most of the selling is completed in the early stage by big players and the participation is from general public in the later stage (while big players are waiting for the right time to buy stocks).<\/p>\n Price keeps on swinging unpredictably and one can’t be sure where the next swing will end. Regarding the\u00a0shares volume<\/em>, it is very irregular and leaves no clue to the direction of the next move.<\/p>\n In the broadening top formation\u00a0five minor reversals<\/em> are followed by a substantial decline.<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n In the figure above, price of the\u00a0share\u00a0reverses five times, reversal point\u00a0d<\/em> is made at a lower point than reversal point\u00a0b<\/em> and reversal point\u00a0c<\/em> and\u00a0e<\/em> occur successively higher than reversal point\u00a0a<\/em>.<\/p>\n One can’t be sure of the\u00a0trend\u00a0unless price breaks down the lower of the two points\u00a0(b & d)<\/em> and keeps on falling. In the figure below,\u00a0Broading Top is confirmed<\/em>. so when is the right time to buy stock, bond, forex or commodity that falls into this form?<\/p>\n <\/p>\n <\/a><\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" Broadening top –\u00a0Buy stock and sell on time Broadening top is technical analysis chart pattern describing trends of stocks, commodities, currencies, and other assets. It’ll help you\u00a0decide when to\u00a0buy stock and when to sell it. Point of Formation Broadening Top formation appears much more frequently at tops than at bottoms. It is a difficult formation […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":112,"menu_order":4,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_mi_skip_tracking":false},"yoast_head":"\nPoint of Formation<\/span><\/h2>\n
Role of Big Players<\/span><\/h2>\n
Price & Volume<\/span><\/h2>\n
How Broadening Top is formed<\/span><\/h2>\n
<\/a><\/h6>\n
Five minor reversals a-b-c-d-e<\/h6>\n
Broadening Top confirmation<\/h6>\n
Continue to the next lesson<\/a><\/h2>\n