Mastering these patterns can level up your trading game 🎯
Here’s a quick guide you’ll want to save 👇
🔻 1. Double Top – Bearish Reversal
Looks like an “M”. Price touches the same high twice, then falls.
✅ Sell: When price breaks below the neckline
🎯 Target: Height from top to neckline
🛑 Stop Loss: Just above the second top
🔻 2. Head & Shoulders – Bearish Signal
Middle peak is the tallest, with two smaller ones on the sides.
✅ Sell: After neckline breaks
🎯 Target: Height from head to neckline
🛑 Stop Loss: Above last shoulder
🔻 3. Rising Wedge – Bearish Setup
Price rises in a tight range, then drops fast.
✅ Sell: On breakdown below the wedge
🎯 Target: Where the wedge started
🛑 Stop Loss: Just above wedge top
🔺 4. Double Bottom – Bullish Reversal
Shaped like a “W”. Price hits same low twice, then rises.
✅ Buy: When price breaks the neckline
🎯 Target: Height from bottom to neckline
🛑 Stop Loss: Below second bottom
🔺 5. Inverse Head & Shoulders – Bullish Signal
Middle dip is deeper, with two smaller dips on the sides.
✅ Buy: On breakout above neckline
🎯 Target: Height from head to neckline
🛑 Stop Loss: Below last dip
🔺 6. Falling Wedge – Bullish Setup
Price moves down in a narrow shape, then pops up.
✅ Buy: When it breaks above the wedge
🎯 Target: Start of the wedge
🛑 Stop Loss: Below wedge bottom
💡 Quick Tip:
Always confirm with RSI, Volume, or Moving Averages before entering a trade.
❤️ Like this post? Save & share with your trading freinds
