Glossary › reversal pattern
Trading glossary · patterns
reversal pattern
A chart shape that hints price may turn around, like a double top after a climb.
The fuller meaning
A pattern suggesting the prior trend may turn, such as double tops and bottoms and head and shoulders, as opposed to continuation patterns. It needs a completed trigger, usually a close through the neckline, and still gives probabilities, not promises.
reversal pattern.
Related words
apex · ascending triangle · bear flag · bull flag · busted pattern · chart pattern · continuation · continuation pattern · converging lines · cup and handle