Topic: Optionslam.com Trending Chart

Indicators:

Blue Line: This is the 10 day simple moving average of stock closing price.

Orange Line: This is the 26 day Kijunsen Line. This is taken from Ichimoku indicator. It is the 50% fibonacci line between highest high and lowest low within the period.

Pink Area: This is the area bounded by 30 day Exponential moving average and 60 day Exponential moving average.

Trending Definition:

We define a stock as trending when its price direction agree with 10 day moving average and 26 day Kijunsen line.

Blow is an example of upward trend line,

Consolidate Definition:

We define a stock as consolidating when its price crosses 10 day moving average and 26 day Kijunsen line back and force.

Below is an example of consolation pattern before the earnings,