Forex chart patterns

The purpose of technical analysis of chart patterns is to identify forex price movements that repeat frequently over time. Typically, a forex trader will spot the formation of a known chart pattern and will then place an order based on the price's expected exit from the pattern. These patterns are classified into two categories: reversal patterns and continuation patterns after a period of consolidation.

Based on historical statistics, triangle figures are the most profitable. Here are some common chart patterns in the currency exchange market.

Triangles  Triangles Symmetrical broadening wedge  Symmetrical broadening wedge
Descending wedges  Wedges Broadening wedges  Broadening wedges
Flags and pennants  Flags and pennants right-angled broadening wedge  Right-angled broadening wedge
Head and shoulders  Head and shoulders Double tops  Double (or triple)
 tops (or bottoms)
Rectangle  Rectangles cup with handle  Cup with handle