Chart pattern: Difference between revisions

Revision as of 18:49, 29 May 2022

Revision as of 20:38, 30 May 2022

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{{More citations needed|date=July 2015}}

A '''chart pattern''' or '''price pattern''' is a [[pattern]] within a [[chart]] when prices are graphed. In stock and [[commodity market]]s trading, chart pattern studies play a large role during [[technical analysis]]. When [[data]] is plotted there is usually a pattern which naturally occurs and repeats over a period. [https://www.ifcmarkets.com/en/ntx-indicators/patterns Chart patterns] are used as either reversal or continuation signals.<ref>{{Cite web |last=markets |first=I. F. C. |title=Trading Chart Patterns {{!}} Forex Chart Patterns {{!}} Technical Analysis Patterns {{!}} IFCM |url=https://www.ifcmarkets.com/en/ntx-indicators/patterns |access-date=2022-05-29 |website=IFC Markets |language=en}}</ref>

There are three main types of chart patterns which are used by technical analysts:

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# Triple Top Reversal

# Triple Bottom Reversal

# [[Head and Shoulders (short story)|Head and Shoulders]]

# Key Reversal Bar<ref>{{Cite web|url=https://financestrategysystem.com/key-reversal-pattern/|title=Key Reversal Bar|website=FinanceStrategySystem|language=en-US|access-date=2018-04-10}}</ref>

Continuation Patterns:

# [[Triangle]]

# [[Flag and pennant patterns|Flag and Pennant]]

# Channel

# Cup with Handle