Chapter ObjectivesWhat Is a Pattern?Common Pattern CharacteristicsDo Patterns Exist?Behavioral Finance and Pattern RecognitionComputers and Pattern RecognitionMarket Structure and Pattern RecognitionBar Charts and PatternsHow Profitable Are Patterns?Classic Bar Chart PatternsDouble Top and Double BottomRectangle (Also “Trading Range” or “Box”)Triple Top and Triple BottomStandard TrianglesDescending TriangleAscending TriangleSymmetrical Triangle (Also “Coil” or “Isosceles Triangle”)Broadening PatternsDiamond TopWedge and ClimaxPatterns with Rounded Edges—Rounding and Head-and-ShouldersRounding Top, Rounding Bottom (Also “Saucer,” “Bowl,” or “Cup”)Head-and-ShouldersShorter Continuation Trading Patterns—Flags and Pennants (Also “Half-Mast Formation”)Long-Term Bar Chart Patterns with the Best Performance and the Lowest Risk of FailureConclusionReview Questions