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Chart 3.1: FTSE triangulates (1)

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You will see that I have labelled the waves of the triangle A, B, C, D, and E on the chart above and triangles are generally formed of five waves. Also you will notice that the triangle stays pretty closely within the two trendlines I have drawn on the chart. Finally you will see from the chart below the triangle was followed by a false break to the upside and then the true break came to the downside.

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