New book by Larry Connors - Click here to read more
Breakouts from consolidation patterns often provide the energy a stock needs before it resumes its trend higher. Call it a rest period, or call it a symmetrical triangle, one things for certain, given the proper background evidence these are setups worth looking for.
11:27:07
A Trap Door entry would have been nice, but given the background evidence that QCOM was one to watch for leadership, a trade entry out of a consolidation pattern like the symmetrical triangle makes for an odds on favorite as well. Symmetrical triangles are notorious for being continuation patterns (I've read upwards of 70%). So when given the opportunity to take a high probability trade on a stock that already favors further upside momentum, take it. You know that you've just found what you've been looking for, and in QCOM's case this pattern leads to gains of .70 before another consolidation pattern emerges.
