Chart Pattern Formations
Technical Analysis Series for intermediate traders
- A Reversal pattern suggests that the current trend is coming to an end and that the pattern is a signal for the beginning of a new trend.
- A Continuation pattern signals that the existing trend will remain in place after a period of consolidation and the completion of the pattern.
Reversal Patterns: Bottoms and Tops
Trading the Pullback
Head & Shoulders
Double Tops and Double Bottoms
Triple Tops and Triple Bottoms
N.B. A Triple Top or a Range Breakout? The triple formation (top or bottom) is a reversal pattern and is also the opposite to a range breakout which is a continuation pattern (see later).