Bullish

Uptrend Channel
	This pattern is characterized by a series of higher highs and higher lows. A line connecting the peaks is roughly parallel to a line connecting the troughs. When a solid uptrend channel has been established, it is safe to buy the stock near the bottom line and sell it near the top line.

Downtrend Reversal
	The downtrend reversal is similar to the downtrend channel, except the downward-sloping line that connects the peaks is broken on heavy volume. It is common for the stock to test the breakout point. It is somewhat safe to buy the stock after a successful test.

"V" Bottom
	The "V" bottom is characterized by a sharp one-day reversal on heavy volume. On the day of the reversal, the stock must make a lower low and higher high than the previous day's low and high. Also, on the day of the reversal, the stock must close near the top of the day's range. A weekly or monthly chart may also be used. This pattern is not as bullish as the "W" bottom.

"W" Bottom or Double Bottom
	The "W" bottom consists of two distinct troughs. Usually the second dip is not as low as the first. Also, the second dip usually occurs on lighter volume. It is wise to wait for the stock to clear the peak between the dips before buying.

Head and Shoulders Bottom
	The head and shoulders bottom occurs when a stock dips, recovers, then dips again on heavy volume. The second dip (the head) is lower than the first dip (the left shoulder). The stock then creates a third dip (the right shoulder) on light volume. It is safe to buy the stock after it has crossed above the "neckline".

Ascending Triangle
	The ascending triangle consists of a series of peaks which occur at roughly the same price. A line connecting the dips form an upward-sloping line. Usually, when the two lines converge the stock will breakout to the upside. Once the stock has broken out, it will likely pullback to the upper line before rising again. It is safe to buy the stock after a successful test of the line.

Flag
	A flag is formed when a stock experiences a correction after a fairly long and fast move upward. The line connecting the peaks is roughly parallel to the line connecting the troughs. Both line are slightly downward-sloping. Caution should be used when encountering this pattern. While it may be tempting to short this type of stock, a flag pattern is very bullish.

Pennant
	The pennant is similar to the flag, except the line connecting the lows is upward-sloping. Like the flag, the pennant is a very bullish pattern. It is safe to buy the stock after it has broken out to the upside.

Gap Up
	The gap up occurs when, after trading sideways for some time, a stock breaks out sharply to the upside. The low of the breakout day or week should be significantly above the high of the previous day or week. The gap usually is caused by some bullish company or analyst announcement. It is common for the stock to test the low of the gap day or week, but it is very unlikely for the gap to "close".