Rectangle

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Rectangle

In technical analysis, a situation in which the price of a security stays within a fairly narrow band. It is called a rectangle because the resistance price and the support price, when drawn as lines, look vaguely like a rectangle.

rectangle

In technical analysis, a chart pattern in which the price of a security bounces back and forth between two horizontal lines. Because a rectangle is thought to occur when stock is being distributed or accumulated by knowledgeable investors, a major price movement is expected once the stock breaks out of the rectangle formation.

rectangle

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Rectangle