Reversal Patterns - Indicates a potential change in direction.
1️⃣ Double Top - A bearish pattern that forms two peaks at the same resistance level before falling.
2️⃣ Shoulder-Head-Shoulder - A bearish pattern with three peaks (left shoulder, head, right shoulder), confirming a reversal of direction after a break of the neckline.
3️⃣ Rising Wedge - A narrow rising channel indicating a bearish reversal when price breaks down.
4️⃣ Double Bottom - A bullish pattern that forms two lows at the same support level before rising.
5️⃣ Inverted Shoulder-Head-Shoulder - A bullish pattern that indicates a reversal of direction after a break of the neckline.
6️⃣ Falling Wedge - A narrow bearish pattern leading to a bullish breakout.
🔄 Continuation Patterns - Indicates the likelihood of a continuation of the current trend.
1️⃣ Falling Wedge - A bullish continuation pattern where price consolidates in a downward channel before breaking out higher.
2️⃣ Rising Rectangle - Price moves horizontally within a horizontal range before breaking out higher.
3️⃣ Rising Flag - Forms a small triangle after a strong rally, indicating further growth on a breakout.
4️⃣ Rising Wedge - A bullish continuation pattern where price consolidates in a narrow ascending channel before breaking out lower.
5️⃣ Falling Rectangle - Price is consolidating in a horizontal range before breaking down.
6️⃣ Falling Flag - A symmetrical small triangle that forms after a strong decline, leading to a continuation of the decline.
🔀 Double Patterns - Can lead to a breakout in either direction.
1️⃣ Rising Triangle - A pattern with horizontal resistance and rising lows, leading to a potential breakout in either direction.
2️⃣ Falling Triangle - Characterized by horizontal support and falling highs, with the direction of the breakout depending on market conditions.
3️⃣ Symmetrical Triangle - A neutral pattern with converging trendlines, indicating an impending breakout, but the direction is uncertain.