Day Trading Encyclopedia

Stock Chart Patterns

Support and Resistance

Understanding how to pinpoint levels of support and resistance is crucial. This will allow you to plan better entries and exits for your trades

Trend Lines

Trend lines can be used to gauge the general sentiment of the market for a given timeframe. They can also be used to pinpoint areas of support and resistance, good entries and exits, and potential reversals.

Triangle Patterns

Triangle patterns are some of the most basic chart patterns and some of the easiest high probability setups to trade on a daily basis.

Wedge Patterns

Wedge patterns can be used to help traders predict both bullish and bearish reversals.

Bull and Bear Flags

Bull and bear flags are continuation patterns that often form after a pullback from a parabolic move. Spotting these patterns can help you differentiate between a reversal and a pullback.

Double Bottoms and Tops

Double bottoms/tops and triple/bottoms tops can be predictive of a future trend reversal as the conviction of the market has been verified multiple times.

Head and Shoulders

The head and shoulders chart pattern is a trend reversal pattern that can be used to spot the end of a bullish move.

Cup and Handle

The cup and handle chart pattern is a longer term chart pattern that can be indicative of an upcoming bullish move