A chart pattern is simply a pattern formed within a security's chart. These patterns are formed during the battle between bulls and bears.
Chart patterns reorganization and pattern studies is part of the technical analysis discipline.
Traders try to recognize patterns in a chart and make decisions based on how they perceive the pattern.
There are many popular chart patterns used by traders in their decision making process.
Popular chart patterns include:
Trend lines
Double top and double bottom
Price channels
Cup and handle
Head and shoulders
