Garmin Illustrates a Ascending Triangle Breakout
This morning Garmin (GRMN) broke out of a ascending triangle pattern (see full Garmin stock chart), and I think this makes for a great educational illustration so you can see visually what one looks like.
I posted on the ascending triangle pattern before, but to refresh your memory here is what one looks like,
You can see the triangle formed, and what you look for then is the stock to break to the upside on strong accumulation volume. This is a bullish pattern, and now look at this chart of Garmin today:
Garmin setup its ascending triangle pattern throughout August, and now today (the yellow bar) broke out of it to the upside. This chart is as of 10:48 AM, but by the end of the day you should see today’s volume above yesterday to signal a strong accumulation day, and the stock may very well be higher.
Do you use ascending triangles as part of your overall stock strategy?
The volume on GRMN is very nice today. The overall market volume isn’t very strong, but GRMN is going to finish well above average volume. Garmin is a tremendous growth story with the company performing very well fundamentally, and the charts look nice as well.