Testing for Lesson 1:
Attributes of a chart
1) Type the appropriate number or letter into the provided field for each corresponding month:
October:
September:
August:
June:
November:
March:
December:
2) Identify a specific attribute of these charts:
The Bear Reversal Line
I-95 North
The Bearish Resistance Line
A Constellation
The Bullish Support Line
The Bearish Resistance Line
I-95 South
The Bullish Support Line
Positive Trading Band
A Bullish Terrier
3) Match the box size to the price range by typing the appropriate letter into each field. You may use the same answer multiple times:
Box Size
Price Range
2.00
a: 20.00 - 100
0.75
b: None/ NA
0.25
c: 5.00 - 20.00
0.50
d: 0.00 - 5.00
1.00
e: 102 - 200
4) Constructing Charts: Answer Yes or No to the following
a. The Low price of the day and the close price of the day are used to construct a chart.
yes
no
b. The High and Low price of the day is used for constructing a PnF chart
yes
no
c. It is possible for a chart to have no action during the trade day
yes
no
d. X = Supply
yes
no
e. A chart can move in more than one column in a day.
yes
no
f. A chart must be updated and a new column added every day.
yes
no
Flowchart of Investing
:
If a chart is in a column of X's, you first look
to see if the chart reversed down into O's?
yes
no
at the High of the day to see if an X is to be added?
yes
no
If the chart is in O's, you first look
to see if the stock declined one full box during the day?
yes
no
for the possibility of a reversal up into X's if the stock rose 20 points.
yes
no
If a chart is in X's at $28 and the low for the day is $24, the high for the day is $29 and the stock closed at $24.5. The action on the chart would be...
Reversal to $24.
Up one row to $29.
No change on the chart.
If a chart is in O's at $19 1/2 and the low for the day is $19 1/8, the high for the day is $21 7/8 and the stock closed at $21. The action on the chart would be...
The chart will fall to 19.
The chart will reverse to the upside
No change on the chart.
Click for an answer sheet.