Unlock the Secrets of Forex Chart Patterns: Master Market Moves Like a Pro!
Reversal patterns are used to indicate that a current trend is coming to an end and that a new trend in the opposite direction is likely to occur. These patterns include head and shoulders, double and triple tops and bottoms, and wedges. The head and shoulders pattern, for example, is formed when a currency’s price reaches a peak and then declines, reaches a second, lower peak and then declines again, before reaching a final peak that is similar to the first peak. This pattern is often seen as a sign that the currency’s price will fall in the future.
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