Premium Chart Analysis

How to Trade Chart Patterns

To effectively trade chart patterns, follow these steps:

Identify the Pattern Early

Use clear trendlines to mark support and resistance zones.

Confirm shape and symmetry before assuming a pattern.

Wait for Breakout Confirmation

A breakout should be supported by volume expansion—this validates the move.

Avoid acting before confirmation; false breakouts are common.

Set Entry and Exit Points

Enter after a confirmed breakout (preferably with candle close beyond resistance/support).

Target = Height of pattern projected from breakout point.

Stop-loss = Just below (for bullish) or above (for bearish) the breakout level.

Use Multiple Timeframe Analysis

Confirm pattern on higher timeframes to avoid false signals.

Align short-term setups with long-term trends for stronger conviction.