Price Patterns in Trading
Reversal Patterns:
1. Double Top - Bearish reversal.
2. Double Bottom - Bullish reversal.
3. Head & Shoulders - Bearish reversal.
4. Inverse Head & Shoulders - Bullish reversal.
5. Triple Top - Bearish reversal.
6. Triple Bottom - Bullish reversal.
Continuation Patterns:
1. Ascending Triangle - Bullish continuation.
2. Descending Triangle - Bearish continuation.
3. Symmetrical Triangle - Continuation of current trend.
4. Flag - Short pause before continuation.
5. Pennant - Like flag, but smaller.
6. Rectangle - Sideways movement, then breakout.
Candlestick Patterns:
1. Hammer - Bullish reversal.
2. Hanging Man - Bearish reversal.
3. Bullish Engulfing - Strong bullish.
4. Bearish Engulfing - Strong bearish.
5. Morning Star - Bullish reversal.
6. Evening Star - Bearish reversal.
7. Doji - Indecision, possible reversal.