Price Patterns - Rising Top Cyclical Pattern

The chart of daily closes for Whirlpool (WHR), an appliance maker, shows ten price cycles with a general trend of rising tops - cycles 2, 4, 6, 8 and 10.

The percent returns chart of monthly closes shows the profitable (76%) buy and sell combinations in green the unprofitable (24%) ones in red. The tops of cycles 2, 4, 6, 8 and 10 are seen at the back of the chart along the 5/1997 buy date going from left to right for sell dates 6/1997 through 6/2006.

The winners and losers map shows the profitable buy and sell combinations in green the unprofitable ones in red. The red areas represent unprofitable returns resulting from buying at high prices at or near the peak of a cycle and selling at lower prices.

Related Articles:

Price Patterns - A Bubble Top Is an Extreme Pattern
Price Patterns - Bump and Run Reversal Top Defines Price Bubble
Price Patterns - A Double Top Signals a Downside
Price Patterns - Head and Shoulders Top Has Three Tops
Price Patterns - Triple Top Signals End of Upside Move
Price Upsides Often Occur in Three Stages

Updated February 25, 2008.