Summary
In this chapter, I walked you through my favorite tool for charting and helped you identify various candlestick and chart patterns, and we finished it with support and resistance and the laws that move them.
My goal was for you to understand the story of the price so that you’re able to predict it. Imagine the price as an old grandparent who stays by the fire, telling you stories. At first, you don’t know the stories and you listen attentively to them. Then, you begin to understand where they are going, what they are trying to illustrate, and how they portray themselves in the story. And finally, when you really know them, you begin to predict what they’ll say from their first few words.
In the next chapter, I’m going to put you in the middle of those stories, learning about indicators and how to combine them to create a profitable (and unique) strategy that beats the market.