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Glossary › failed pattern

Trading glossary · patterns

failed pattern

A chart pattern that did not do what it usually hints at, so price went the other way.

The fuller meaning

A pattern that completes but then breaks its invalidation level instead of following through. Every pattern is a probability, not a promise, so traders know in advance where they are wrong; a failure can even become a signal of its own when trapped traders exit together.

failed pattern.

Related words

apex · ascending triangle · bear flag · bull flag · busted pattern · chart pattern · continuation · continuation pattern · converging lines · cup and handle