What are Price Patterns?

[subbu]

Price patterns are patterns in price-time charts that give a definitive insight to the movement of market prices.

[M Prem Rajan]

Price patterns are visible trends of price and volume which can help understand the flow of the market and expected price movements to make trading profits. The different price patterns are head and shoulder, double top,double bottom,flag, triangle pattern, etc.

[Sakunthala]

Price patterns gives the characteristics of the price movements.eg:double top,double bottom, flag pattern, triangle pattern, head and shoulder.

[Sangeetha Subramaniam]

Price patterns follows Dow theory but provides early indication on price movement. These patterns are seen in the market on various scenarios and expected to follow the defined trend once the pattern occurs.The patterns are visualized through charts with defined timeline, which helps to analyse the market situations and indicates when to place long/short positions.The most commonly used patterns are:

• Head and shoulder
• Double top and  bottoms
• cup pattern
• Flag pattern
• Triangle pattern

[Murugan Thanikachalam]

Price patterns are clear indicators of the price movements, giving early signals to help in reacting to the movement.

1.Double Top/Bottom

2.Upright/Inverted Head and Shoulders

3.Cup/round bottom

4.Bearish/Bullish pole Flags

5.Triangle

are some of the Price Patterns.

 

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