What is a Point and Figure Buy Signal?

by | Videos, Chart School, Technical Analysis

In the last video, Tom showed us the daily process of updating a point and figure chart. Another main component of point and figure charting is the buy signal. Tom shows exactly what a point and figure buy signal is in this video.

In point and figure, when a current column of X’s reaches the same level as the previous column of X’s this is a double top. When the current column of X’s exceeds the previous column of X’s, we call this a double top buy signal. This is one of the most basic chart patterns in point and figure. As you can likely imply from the name, a buy signal is a positive development. We consider many other factors important in the purchase of a security, but a buy signal is definitely a pro rather than a con.

Point and figure charting is best learned in a visual method, so check out this week’s video. You will understand a point and figure buy signal more clearly after watching.

Join our Newsletter

Mullooly-Main-Logo

Future-Proof Your Finances

Download the 25-Year Success Strategy

 
Enter your email & get this free PDF download to help you prepare for the next 25 years.  We will send periodic updates as well. Unsubscribe at any time.

You have Successfully Subscribed!

Share This