What Are the Best Chart Patterns in Trading?
Chart patterns are visual formations on price charts that show the battle between buyers and sellers. When you recognize these patterns, you can predict potential breakouts, reversals, or trend continuation — which helps you enter high-accuracy trades.
✅ Top 7 Best Chart Patterns (With Logic)
🔹 1. Double Top & Double Bottom
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🔺 Double Top → Reversal from uptrend to downtrend
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🔻 Double Bottom → Reversal from downtrend to uptrend
🔹 2. Head and Shoulders
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Shows a trend reversal, especially on 1H+ timeframes
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🔺 Bearish: Head & Shoulders
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🔻 Bullish: Inverse H&S
🔹 3. Bullish & Bearish Flag
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Appears after a strong move → short consolidation → trend continues
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Good for sniper entries with low risk
🔹 4. Cup and Handle
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Shaped like a cup ☕ → Signals a bullish breakout
🔹 5. Triangle Patterns
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Ascending Triangle → Bullish
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Descending Triangle → Bearish
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Symmetrical Triangle → Wait for breakout
🔹 6. Wedges (Falling & Rising)
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Falling Wedge → Bullish reversal
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Rising Wedge → Bearish reversal
🔹 7. Consolidation/Range
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Market moves sideways → wait for breakout to enter