Been looking at charts for a while but feel like I’m missing something important.
Sometimes I spot a pattern, but then the price moves sideways or goes the opposite way. It’s frustrating.
How do you confirm if a pattern is real before jumping in?
Volume confirms everything. Without it, you’re just staring at meaningless lines. Watch for volume spikes when the pattern forms and breaks out. It’s crucial to wait for confirmation before jumping in. Many traders get impatient and enter too early, which can lead to losses. Wait for that clear breakout and then ride the momentum. Patience pays off in trading.
Breakouts need at least a 3% move from the pattern boundary to be legit.
Blew $400 on what looked like a perfect head and shoulders setup. Total bust.
Now I test patterns with small positions first. If it moves against me in the first 10 minutes, I’m out.
Good patterns show strength right away.
Check multiple timeframes. Look for patterns on 1H. Confirm breakouts on 15M. Verify trend alignment on 4H. Rejection at key levels indicates a false pattern.
Patterns fail way more than people realize. What changed everything for me was catching fake patterns before they burned me.
Good patterns have clean lines and obvious structure. If you’re forcing the lines to connect, it’s probably garbage.
Watch how price acts at support and resistance inside the pattern. Strong bounces? The pattern might actually work.