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Chart pattern
Chart pattern is a formation on stock chart that shows signs of future price movements. Stock charts show the relation between stock price and time. There are many types of charts like line chart (only shows closing price), bar charts (shows high and low price for one period, and closing price), and candlestick. Chartist uses this pattern to make buy/sell decision. Chart pattern is used in technical analysis which assumes that trend tend to repeat itself. There are many chart patterns. The popular are Head and shoulders, Cup and handle, Double tops and bottom, triple top and bottom, and triangle.



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