A Better Way of Understanding Float Charts

View Three Graphics That will Help You Understand Float Charts:

View 2
A Better Way of Understanding Float Charts (but not the best)
The graphic below is a better view of the principles of understanding float charts than the first simplistic view. Read why at the bottom of this page.

The graphic above is better than that first simplistic graphic for two reasons. First it shows how follow through days confirm price direction. Second, it the shows the top float channel line being a line of resistance and the bottom float line being a line of support. And third, it shows how a sideways float turnover can show up on the way to the top and on the way to bottom. But this is still not the best view to understand the fundamental characteristics of Float Charts. Click here to see View 3 - The Best