Chart Patterns
15 lessons in this track so far, in the order we suggest reading them.
Reversal Patterns
IntermediateHead and ShouldersThe head and shoulders is a reversal pattern of three peaks with a higher middle peak. Learn the neckline, confirmation, measured targets and the inverse version.IntermediateDouble Top and Double BottomDouble tops and bottoms are reversal patterns where price fails twice at the same level. Learn how to confirm them, measure targets and avoid common traps.IntermediateTriple Top and Triple BottomTriple tops and bottoms are reversal patterns with three failed tests of one level. Learn how they form, how to confirm the breakout and how they differ from ranges.IntermediateRounding BottomA rounding bottom is a slow, U shaped reversal from a downtrend to an uptrend. Learn how it forms, why volume matters, how to confirm it and how to trade it.IntermediateBroadening FormationA broadening formation has higher highs and lower lows, widening like a megaphone. Learn what it says about volatility, how to trade it and its risks.
Continuation Patterns
IntermediateAscending TriangleAn ascending triangle has flat resistance and rising lows, showing buyers pressing higher. Learn how to identify it, confirm the breakout and set targets.IntermediateDescending TriangleA descending triangle has flat support and falling highs, showing sellers pressing lower. Learn to identify it, confirm the breakdown and set measured targets.IntermediateSymmetrical TriangleA symmetrical triangle has lower highs and higher lows converging to an apex. Learn why it signals compression, how to trade the breakout and avoid false moves.IntermediateRising WedgeA rising wedge has rising, converging trend lines with highs climbing slower than lows. Learn why it is usually bearish, how to confirm the break and set targets.IntermediateFalling WedgeA falling wedge has falling, converging trend lines with lows dropping slower than highs. Learn why it is usually bullish, how to confirm the breakout and targets.IntermediateBull and Bear FlagsBull and bear flags are continuation patterns: a sharp move, a small sloping consolidation, then another move. Learn the rules, entries, stops and targets.IntermediatePennantsA pennant is a small symmetrical triangle after a sharp move that usually signals continuation. Learn how to identify pennants, trade the breakout and set targets.IntermediateRectanglesA rectangle is a horizontal range between parallel support and resistance. Learn how to trade inside it, how to trade the breakout and how to measure targets.IntermediateCup and HandleThe cup and handle is a bullish pattern: a rounded base, a small pullback and a breakout. Learn the rules, the handle, buy points, stops and common failures.