Chart Patterns

Market Terms

We don't know everything about the markets.  We're just devoted to learners.  Taken from those smarter than ourselves, here's how we define Chart Patterns.

The shape of a price chart that helps traders determine the next buy or sell by predicting what the prices may do next based on what they’ve done in the past.  They form the basis of technical analysis, and require the discerning trader to know what they’re looking at and what they’re looking for.  There are many possible chart pattern indicators, such as ascending triangles, descending triangles, flags, and wedges.  Knowing and recognizing chart patterns is an essential component to successful trading and future predictions.