- Beginning of a Lateral Pattern starts with an ascending uptrend, which makes up for the first resistance line (Resistance 1)
- Prices Touches resistance, and starts a downtrend until it creates support bottom (Bottom 1)
- Continues fluctuation until it breaks Resistance 1, creating Resistance 2.
- New downtrend is created until next bottom ( Bottom 2)
- Price continues Fluctuation between Resistance 2 and Bottom 2, until it breaks resistance and creates new top on Resistance 3, and continues fluctuation between R3 and Bottom 2.
- Prices Touches resistance, and starts a downtrend until it creates support bottom (Bottom 1)
- Continues fluctuation until it breaks Resistance 1, creating Resistance 2.
- New downtrend is created until next bottom ( Bottom 2)
- Price continues Fluctuation between Resistance 2 and Bottom 2, until it breaks resistance and creates new top on Resistance 3, and continues fluctuation between R3 and Bottom 2.