Chart Patterns
Chart Patterns Long-Term Patterns Chart Patterns Chart Patterns are formed by support and resistance levels and by trend lines.
Cup and Handle The cup and handle is a longer term continuation pattern, similar to an ascending triangle.
Double Bottoms Double Bottom Patterns are useful reversal patterns in a downtrend. They are identified by measuring from the lowest trough to the level of the intervening peak.
Double Tops Double tops are useful reversal patterns in an uptrend, identified by two peaks of similar height, followed by a break below the intervening trough.
Head & Shoulders A powerful reversal signal, the head and shoulders pattern is completed by a lower peak followed by a break below the neckline.
Support & Resistance Support and resistance are the foundation stone of all technical analysis.
Trading Ranges Trading Ranges are formed by support and resistance lines in close proximity. Price fluctuates in a narrow band with no clear trend.
Triangles & Wedges Triangles and wedges can be powerful continuation or reversal patterns, depending on their shape.
Triple Tops Triple tops are similar to double tops and comprise three peaks of similar height.
Short-Term Patterns Short-Term Support & Resistance Support, resistance and trading ranges.
Flags & Pennants Flags and pennants are short-term congestion patterns that form in trends and are reliable continuation signals.
Rectangles Rectangles are of the most reliable chart patterns when they appear in close proximity to support or resistance during an up-trend.
Volume Patterns Volume activity provides powerful confirmation of price signals and often gives advance warning.
Daily Chart Patterns Bar/OHLC Charts How to identify trends, control, commitment, uncertainty, inside and outside days.
Gaps Gaps are often found at breakouts or during a strong trend.
Wide Ranging Days A powerful signal, especially after big volume changes or a strong trend.
Spikes A spike is identified by a high sharply above the days on either side, a close near the day's low, and a strong preceding trend.
Volume Spikes Volume spikes above the normal range highlight unusual trading activity, as do volume dips with lower than normal volume.
Reversal Days Reversal Days Every trend change is signaled by a reversal day. The secret is to identify their potency.
Closing Price Reversal A powerful reversal signal, especially with a large spike after a strong advance...
Hook Reversal An inside day that signals a fairly weak reversal...
Island Reversal Island reversals are powerful signals, identified by gaps between the signal day and the days on either side...
Key Reversal Key reversal signals do not occur very often but are definitely worth the wait...
Open-Close Reversal Open-Close reversals are potent reversal signals when they follow a strong trend.
Pivot Point Reversal Pivot point reversals are the simplest and most commonly encountered of all reversal signals.
Point & Figure Patterns Basic Point & Figure Patterns Basic Point and Figure chart patterns: Support and resistance, trendlines, breakouts, bullish and bearish signals.
Bull & Bear Traps One of the most reliable Point and Figure chart patterns, Bull Traps occur when an upward breakout retreats back below the new support level.
Cup & Handle Identify the cup and handle pattern on Point and Figure charts. Popularized by William J O'Neill (How To Make Money In Stocks).
False Breaks Similar to Point and Figure bull and bear traps, false (or marginal) breaks occur at minor support levels (from a previous low) or minor resistance.
Bull & Bear Traps - Primary Index Upward breakouts in a primary down-trend are notoriously unreliable.
Retracements Retracements (or corrections), during a Point and Figure trend, tell us about the strength of the trend.
Spikes An upward Point and Figure spike is where a rally exceeds the previous column of Xs by at least 10 boxes.
Trend Reversals After a Point and Figure up-trend, marginal new highs (especially where accompanied by equal or lower lows) indicate a loss of momentum.
Triangles For a valid Point and Figure triangle there must be at least two retracements counter to the prevailing trend.