Can You Guess Dave's Favorite Stock Pattern?

I've had many people ask, "Dave, what's your favorite stock pattern?" I'm not prejudiced. Give me the best looking pattern, whichever one I can see. It can be a rolling stock, an uptrend, a downtrend, a cup and handle - it truly doesn't matter. If I can see it, that's the one I'm going to trade.

The reason there isn’t one particular stock pattern that is my favorite, is that there is a downside to having a “favorite”. It’s easy to get too comfortable when I am successful with a particular pattern. Sometimes, I'll start trading a stock and I'll find myself trading the same pattern over and over again. I might think to myself,  "Wow, that's my favorite pattern." I start only looking for that pattern, and I end up missing other great patterns. Think about the opportunities I miss when I limit myself in that way.

If I can see a clear pattern, I know when to buy and I know when to sell. If I know when to buy and I know when to sell, there's a greater chance I can become profitable.I have to remind myself: "Dave, if you can see it, trade it. Go for the one that you can see the most. The prettiest one." That's the trade that I like the best.