The basic definition of a recession is that it takes place when GDP falls for at least two consecutive quarters. However, this definition does not take into account other macroeconomic factors, such as, for example: unemployment. And economists believe that other factors, such as industrial production, consumer sentiment and capacity utilization should also be taken into account.
The formation is also called a quadrangle, often promises a trend continuation, not its reversal. This system consists of two parallel horizontal lines through the maximum and minimum levels of price movements. A signal for the transaction occurs upon the breakdown of the top or bottom line, often with a correction movement.
Relative Strength Index (RSI)
A technical analysis indicator that compares the movements of bullish and bearish closing prices over a given period of time. The RSI is used primarily to seek endorsements or predictions of signs of breakouts and changes in trends.
The price level in the uptrend, the breakdown of which is difficult. In the chart, resistances may be previous price peaks, previously broken down support, downtrend lines.