Real-time pattern trading is the easiest way to find entry and exit prices if you can scan thousands of stocks and ETFs within minutes. It is definitely impossible for humans. Artificial Intelligence (A.I.) not only discovers these patterns, but also checks if they worked out well in the past. Knowing the success rate in the past allows A.I. to establish the odds of success in the future.
The Rectangle Top pattern forms when the price of a security is stuck in a rangebound motion, and it bounces between support and resistance levels. Two horizontal lines are formed (top: 1, 3, 5) and (bottom: 2, 4) as a result. Depending on who gives up first – buyers or sellers – the price can Breakout in either direction.
This pattern is commonly associated with directionless markets. Usually the pattern performs better when there is a strong uptrend leading into the formation.
If price breaks out from the bottom pattern boundary, day traders and swing traders should trade with a DOWN trend. Consider selling a security short or buying a put option at the downward breakout price level. To identify an exit, calculate the pattern height by taking the difference between the support and resistance levels. Then, subtract the pattern height from the breakout price to estimate the target price.
To limit potential loss when price suddenly goes in the wrong direction, consider placing a stop order to buy back a short position or sell a put option at or above the breakout price.
Time frames No matter your trading strategy (day trading, swing, etc), we have patterns that will be ready to trade.
COF - Capital One Financial Corp.
| STATUS | Emerged |
|---|---|
| CURRENT CONFIDENCE | 33% |
| TARGET (EXIT) PRICE | 176.88 USD |
| BREAKOUT (ENTRY) PRICE | 176.02 USD |
| DISTANCE TO TARGET PRICE | 0.95% |
| EMERGED ON | Aug 13, closing price |
| WITH CONFIDENCE LEVEL | 33% |
CVLY - Codorus Valley Bancorp, Inc.
| STATUS | Emerged |
|---|---|
| CURRENT CONFIDENCE | 37% |
| TARGET (EXIT) PRICE | 22.35 USD |
| BREAKOUT (ENTRY) PRICE | 22.07 USD |
| DISTANCE TO TARGET PRICE | 2.34% |
| EMERGED ON | Aug 13, closing price |
| WITH CONFIDENCE LEVEL | 37% |
TMP - Tompkins Financial Corp
| STATUS | Emerged |
|---|---|
| CURRENT CONFIDENCE | 35% |
| TARGET (EXIT) PRICE | 80.53 USD |
| BREAKOUT (ENTRY) PRICE | 79.31 USD |
| DISTANCE TO TARGET PRICE | 2.78% |
| EMERGED ON | Aug 13, 03:30 PM (EDT) |
| WITH CONFIDENCE LEVEL | 35% |
OPGN - Opgen Inc
| STATUS | Emerged |
|---|---|
| CURRENT CONFIDENCE | 33% |
| TARGET (EXIT) PRICE | 2.53 USD |
| BREAKOUT (ENTRY) PRICE | 2.50 USD |
| DISTANCE TO TARGET PRICE | 3.50% |
| EMERGED ON | Aug 13, 03:15 PM (EDT) |
| WITH CONFIDENCE LEVEL | 35% |
