Why Chart Patterns Work
Chart patterns work because they reflect real market behavior.
Key reasons:
✔ Human psychology repeats
People fear losses and chase gains. This creates repeatable price movements.
✔ Institutions accumulate or distribute slowly
Big players cannot buy or sell at once—they create patterns during accumulation/distribution.
✔ Liquidity zones
Patterns often form near liquidity pools where many stop-loss orders exist.
✔ Self-fulfilling nature
When many traders recognize the same pattern, they take similar trades, increasing accuracy.
Chart patterns work because they reflect real market behavior.
Key reasons:
✔ Human psychology repeats
People fear losses and chase gains. This creates repeatable price movements.
✔ Institutions accumulate or distribute slowly
Big players cannot buy or sell at once—they create patterns during accumulation/distribution.
✔ Liquidity zones
Patterns often form near liquidity pools where many stop-loss orders exist.
✔ Self-fulfilling nature
When many traders recognize the same pattern, they take similar trades, increasing accuracy.
I built a Buy & Sell Signal Indicator with 85% accuracy.
📈 Get access via DM or
WhatsApp: wa.link/d997q0
Contact - +91 76782 40962
| Email: techncialexpress@gmail.com
| Script Coder | Trader | Investor | From India
📈 Get access via DM or
WhatsApp: wa.link/d997q0
Contact - +91 76782 40962
| Email: techncialexpress@gmail.com
| Script Coder | Trader | Investor | From India
Pubblicazioni correlate
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.
I built a Buy & Sell Signal Indicator with 85% accuracy.
📈 Get access via DM or
WhatsApp: wa.link/d997q0
Contact - +91 76782 40962
| Email: techncialexpress@gmail.com
| Script Coder | Trader | Investor | From India
📈 Get access via DM or
WhatsApp: wa.link/d997q0
Contact - +91 76782 40962
| Email: techncialexpress@gmail.com
| Script Coder | Trader | Investor | From India
Pubblicazioni correlate
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.