A visual reference guide to classical chart patterns. Understand how price structures form, what they signal, and their psychological context in market cycles.
Three peaks form with the middle peak (head) highest. The two side peaks (shoulders) are roughly equal. A break below the neckline confirms the reversal.
The inverted mirror of the standard pattern. Three troughs form with the middle one deepest. A break above the neckline signals bullish momentum.
Price hits a resistance level twice and fails to break above. The 'M' shape forms naturally. A break below support confirms bearish reversal.
A 'W' shape where price bounces off a support level twice. Breaking above the resistance between the bottoms signals bullish reversal.
Flat resistance overhead with rising higher lows beneath. Buyers step in at progressively higher prices. A breakout above resistance continues the uptrend.
Flat support below with descending lower highs above. Sellers gain control by pushing price down from weaker highs. A break below support continues the downtrend.
Both trendlines slope upward, but the lower line is steeper. Despite rising price, buying momentum is weakening. A break below triggers a sharp sell-off.
Both trendlines slope downward, but the upper line is steeper. Selling pressure is fading. A break above the upper trendline produces a strong bullish reversal.
Two converging trendlines with similar slopes. Often a pause before a major move. Breakout direction can go either way and is best confirmed with volume.