Chart Patterns

Question 1

what do chart patterns help predict?

Answer 1

where the price might move next

Question 2

what are reversal patterns?

Answer 2

patterns that tend to change the direction of a trend

Question 3

what are the two types of trends?

Answer 3

bearish & bullish

Question 4

what are the three types of reversal patterns?

Answer 4

head & shoulders

rising wedge

double top

Question 5

what are the three continuation types?

Answer 5

bullish/bearish rectangle

falling/rising wedge

bullish/bearish pennant

Question 6

what’s the difference between reversal patterns and continuation patterns?

Answer 6

continuations don’t result in a directional change

they can be viewed as a pause in the trend

Question 7

what are triangle patterns?

Answer 7

triangles are ascending/descending/symmetrical patterns that show trends over longer timeframes