A breakout triggers the buying or selling pressure that has built up during a pattern’s formation. Volume should increase sharply as the breakout occurs. The breakout’s first reaction might travel back into the pattern, but any delay in resuming the breakout’s trending should be brief.
Following are examples of patterns and their breakouts. Each is linked to more examples of the pattern:
Ascending Triangle
Channel
Complex Triangle
Descending Triangle
Double Bottom, Double Top
Head & Shoulders
Island
Wedge
Rounding Bottom, Rounding Top
Symmetrical Triangle