• : June 6, 2021
  • : Prashant Shah
 
Tweezer Pattern
 
P&F Tweezer pattern was introduced in the book Trading the Markets the Point & Figure way. It is a horizontal accumulation-distribution pattern made objective via P&F charts.
The pattern can be explained as a follow-through action to consolidation between two anchor columns.

The P&F Tweezer bullish formation rules are:

 
  1.  Consolidation between two anchor columns forms the Tweezer pattern
  2.  Second Anchor column should be bullish for the bullish tweezer pattern
  3.  Maximum 6 columns between two anchor columns
  4.   Plot Bullish aggressive horizontal count when tweezer gets formed
  5.  A column breakout in any of the subsequent columns, activates the tweezer and the count
  6. The bullish pattern gets negated when bottom of the pattern gets broken


A – First Anchor column – Minimum 10 boxes in the column.

B – Consolidation – not more than 6 columns.

C – Second Anchor column – Minimum 10 boxes in the column.

D – Tweezer gets formed – Consolidation is completed.

E – Tweezer gets activated – follow-through action that activates the tweezer and horizontal count.