Breakoutscan generally offer some of the higher potential risk/reward setups, allowing traders to keep stops tight relative to potential profit target. One very popular way of doing so is by trading ...

Rectangles combine the ideas of support and resistance into a single chart pattern. When prices encounter a resistance level, they often fall. At support levels, prices often find a short-term bottom.

Melvin Pasternak has spent 27+ years teaching at Mount Royal University and is the author of 21 Candles Every Trader Should Know. Suzanne is a content marketer, writer, and fact-checker. She holds a ...

A. A chart pattern is a visual representation of price movements. When data is plotted, a pattern naturally occurs and repeats over a period of time. In short, they are geometric shapes found in ...