A bullish reversal pattern that forms when the price moves lower within a narrowing downward-sloping channel. This pattern indicates that selling pressure is weakening, and a breakout to the upside is likely. It signals that buyers are gradually taking control,…
A Bullish Flag is a short-term continuation pattern that appears after a strong price rally. It forms a small downward or sideways consolidation resembling a flag on a pole. Once the price breaks out above the flag, it signals a…
A bullish reversal pattern that forms when the price tests a support level three times but fails to break lower. This pattern signals strong buying pressure and a potential trend reversal from a downtrend to an uptrend. It is considered…
A W-shaped formation where price tests a support level twice at nearly the same level but fails to break lower. This pattern signals a potential trend reversal from a downtrend to an uptrend. It forms after a prolonged bearish trend,…
A M-shaped pattern where price tests resistance twice at nearly the same level but fails to break higher. This pattern signals that buyers are losing strength, and a breakdown below support confirms a bearish trend reversal. Significance Suggests that strong…
A narrowing upward pattern where price forms higher highs and higher lows, but the range contracts before breaking downward. This pattern signals that buyers are losing momentum, and a breakdown confirms a bearish trend. Significance Suggests that buying pressure is…
A three-peak formation where the middle peak (head) is the highest, while the side peaks (shoulders) are lower. This pattern signals a potential trend reversal from an uptrend to a downtrend. It forms after a strong bullish trend, and a…
The Exponential Moving Average (EMA) is a variation of the Simple Moving Average (SMA) that gives more weight to recent price data. This makes EMA more responsive to price movements compared to SMA.
The Simple Moving Average (SMA) is a popular technical indicator that helps traders identify price trends. It calculates the average closing price of a stock or asset over a set number of days, smoothing out short-term price movements to make…
The Heikin-Ashi chart (meaning "average bar" in Japanese) was developed by Japanese traders and is a modification of candlestick charts. It smooths out price action by averaging the price data over multiple periods. This makes trends easier to identify by…