Chart patterns
A chart pattern is a repeating shape in price action that describes how buyers and sellers are behaving — not a prediction of what happens next. Each of the 32 patterns below has a definition, the psychology that produces it, the entry logic traders use, and the specific way it fails.
This is the same dictionary the ChartLens app reads from. The app is not allowed to name a pattern that is not defined here, which is why it will sometimes tell you there is no clean pattern rather than reaching for one.
Reversal patterns
Shapes that appear when a trend runs out of participants. They are only complete once a defined level breaks — until then they are a shape, not a reason to act.
Head and shoulders
A head and shoulders is a topping pattern: a peak (the head) flanked by two lower peaks (the shoulders), with the lows between them forming a neckline.
Usually bullishInverse head and shoulders
The mirror image of head and shoulders: a low (the head) flanked by two higher lows, with the highs between them forming a neckline.
Usually bearishDouble top
Two roughly equal highs separated by a pullback, with the low between them forming the confirmation level.
Usually bullishDouble bottom
Two roughly equal lows separated by a bounce, with the high between them forming the confirmation level.
Usually bearishTriple top
Three failures at approximately the same resistance, with a shared support level beneath.
Usually bullishTriple bottom
Three holds at approximately the same support, with a shared resistance above.
Usually bearishRising wedge
Price grinds higher between two upward-sloping lines that converge — the highs rise more slowly than the lows.
Usually bullishFalling wedge
Price drifts lower between two downward-sloping converging lines — the lows fall more slowly than the highs.
Usually bullishRounding bottom
A slow, curved base where the decline flattens, turns, and gradually accelerates upward, forming a U shape.
Usually bearishDiamond top
A broadening formation that narrows into a symmetrical triangle, producing a diamond outline at a market top.
Continuation patterns
Pauses inside an existing move. The market digests the last leg and, more often than not, carries on. The quality of the pause is what separates a real one from the start of a reversal.
Bull flag
A sharp rally (the pole) followed by a tight, slightly downward-sloping consolidation (the flag).
Usually bearishBear flag
A sharp decline followed by a tight, slightly upward-sloping consolidation.
Usually bullishBull pennant
A strong rally followed by a small symmetrical triangle of contracting swings.
Usually bearishBear pennant
A sharp decline followed by a small symmetrical triangle of contracting swings.
Usually bullishAscending triangle
A flat resistance level with a rising sequence of lows beneath it.
Usually bearishDescending triangle
A flat support level with a falling sequence of highs above it.
No built-in biasRectangle
A horizontal range between parallel support and resistance inside an existing trend.
Usually bullishCup and handle
A rounded base (the cup) followed by a small, shallow pullback near the rim (the handle).
Usually bearishInverse cup and handle
An inverted rounded top followed by a small upward drift near the low rim.
No built-in biasMeasured move
Two roughly equal-length directional legs separated by a corrective phase.
Bilateral patterns
Compression or expansion with no directional bias built in. These say volatility is changing, not which way price is going, so waiting for the break is the entire method.
Symmetrical triangle
Lower highs and higher lows converging toward a point, with no directional bias built into the shape.
No built-in biasBroadening formation
Higher highs and lower lows — a range that expands rather than contracts.
No built-in biasRange
Price oscillating between a defined floor and ceiling with no trend structure.
Candlestick patterns
Single or short multi-candle formations. Individually they are noise; against a level that has already been tested, they are a timing signal worth noticing.
Bullish engulfing
A down candle followed by an up candle whose body completely covers it.
Usually bearishBearish engulfing
An up candle followed by a down candle whose body completely covers it.
Usually bullishHammer
A candle with a small body near the top and a long lower wick, appearing after a decline.
Usually bearishShooting star
A candle with a small body near the low and a long upper wick, appearing after a rally.
No built-in biasDoji
A candle that opens and closes at nearly the same price, leaving little or no body.
Usually bullishMorning star
A three-candle bottom: a strong down candle, a small indecisive candle, then a strong up candle.
Usually bearishEvening star
A three-candle top: a strong up candle, a small indecisive candle, then a strong down candle.
Usually bullishThree white soldiers
Three consecutive strong up candles, each opening within the previous body and closing near its high.
Usually bearishThree black crows
Three consecutive strong down candles, each opening within the previous body and closing near its low.
People also ask
What is a chart pattern?
A chart pattern is a repeating shape in price action that reflects a specific balance between buyers and sellers. It is a way of describing structure, not a prediction. A pattern is only useful once a defined level breaks and confirms it.
Do chart patterns actually work?
They work as a framework for defining risk, not as a forecast. Every pattern on this page has a failure mode listed, because every one of them fails regularly. What makes them useful is that they give you a level that says you were wrong.
Which chart pattern is the most reliable?
None is reliable on its own. Reliability comes from context — the same ascending triangle behaves differently in an uptrend and a downtrend. ChartLens publishes its own per-pattern hit rate so you can see how each has actually performed.
How many chart patterns are there?
This dictionary covers 32 patterns across four families: reversal, continuation, bilateral and candlestick. It is the same dictionary the ChartLens app uses, so the app cannot name a pattern that is not defined here.