Skip to content
Glossary

Chart pattern

A repeatable configuration of price (and sometimes volume) used in technical analysis — a flag, a double top — always with a definition of invalidation.

Definition

A chart pattern is a repeatable configuration of price (sometimes with volume) — a flag, a double top, a head and shoulders — used as a hypothesis about continuation or reversal. Without an invalidation level and risk management it stays a sticker on the chart, not a setup.

Example

On the D1 chart you see a double top at resistance with a clear trough between the two peaks. A short setup only makes sense once that trough breaks (or once your defined rule triggers), with a stop above the structure and a size within 1–2% risk.

Anti-example / common mistake

“I see a pattern, so I enter immediately” without trend context and without invalidation. A common overfit: matching a pattern name to every candle instead of waiting for confirmation that fits the plan.

Chart patterns

Structure sources

Materials behind this definition — documentary sources, not recommendations.

Who writes this and how we check it

The materials are written and verified by Redakcja Kurs Tradera — the rules are described on about the site: every number has a source, and we show gaps openly. Report a factual error via contact — corrections are described in the content.

Last content update: