# 3 Types of Patterns

Patterns come in all shapes, but they usually fall into three main categories: **Reversal**, **Continuation**, and **Candlestick** patterns. Each category helps you size up where the market might be headed. Let’s break them down.

### Reversal Patterns

These signal a potential trend flip. Price might have been grinding up, then suddenly hits one of these patterns and reverses to the downside (or vice versa).

*Examples: Double Top / Double Bottom, Head & Shoulders.*

### Continuation Patterns

These indicate that the market momentum is likely to keep trucking in the same direction.

*Examples: Rectangles, Flags, Wedges.*

### Candlestick Patterns

These are short-term signals that can be powerful triggers for entries or exits. Candlestick patterns can point to both reversals and continuations, depending on context.

*Examples: Doji, Harami, Inside Bars.*

We will explore all the examples in detail very soon. Be patient.&#x20;

Getting comfortable with these categories helps you spot setups faster. Keep your eyes peeled for the right shapes, confirm with other indicators, and trade with confidence.


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