There are several types of chart patterns used in trading, including:
Trend lines: these are straight lines drawn on a chart to identify a current trend in the price of an asset.
Support and resistance levels: these are price levels where an asset has difficulty breaking through and are used to identify potential price reversal points.
Reversal patterns: these patterns, such as head and shoulders, double tops, and bottoms, indicate a potential change in trend.
Continuation patterns: these patterns, such as triangles, flags, and pennants, indicate that the current trend is likely to continue.
Channel patterns: these are trends that move between two parallel lines and are used to identify potential entry and exit points.
Gap patterns: these occur when the price of an asset jumps from one level to another without trading in between, and can indicate a potential trend reversal or continuation.
It's important to keep in mind that chart patterns are not always a guarantee of future price movements and should be used in conjunction with other technical and fundamental analysis.
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