Top Chart Patterns Every Indian Forex Trader Should Know
Head and Shoulders – Reversal You Can Trust
This pattern looks like its name—two smaller peaks on the sides with a higher one in the middle. When it forms after an uptrend, it's usually a sign that prices might reverse. For Indian traders watching USD/INR or EUR/INR, spotting this can help exit before the trend flips. On Forext, use the real-time data and clean chart view to mark the neckline. Once price breaks it, it’s often time to act.
Double Top and Double Bottom – Simple and Powerful
These patterns are like market stutters. A double top usually hints the price has peaked, while a double bottom says it might be done falling. Indian traders love this for its simplicity—especially while trading popular pairs like GBP/INR. On Forext, the zero-commission trading makes it cost-effective to enter trades on confirmation, without worrying about added fees eating into gains.
Triangles – Patience Pays
Ascending, descending, and symmetrical triangles show price consolidation. These usually form before a breakout. If price breaks above an ascending triangle, bulls are taking over. If it falls below a descending one, bears are in control. Traders often watch USD/INR around economic events—when prices coil into a triangle, breakouts can follow. The Forext Android and iOS apps help track these patterns even on the move, ideal for traders balancing other work.
Flags and Pennants – Quick Continuation Signals
These form after a strong price move, followed by a short pause. A flag tilts against the trend while a pennant forms a small triangle. Both signal that the trend may resume. Indian traders often use these during high-volume sessions. With Forext’s real-time data, you can catch these patterns as they form and jump in just as the market regains momentum. And since there’s zero commission, scaling in and out is smoother.
Cup and Handle – Slow Build, Strong Finish
This bullish pattern forms a rounded bottom followed by a small dip (the handle). It often appears on longer timeframes and signals a breakout if price pushes above the handle. For traders watching global markets, this can be especially useful for pairs like AUD/INR or JPY/INR. With Forext’s easy charting tools, marking the resistance and waiting for a breakout becomes less intimidating—even for newer traders.
Rising and Falling Wedges – Squeeze Before the Move
A rising wedge during an uptrend may hint at a bearish reversal. A falling wedge could indicate a bullish move ahead. These patterns look like tightening price action and often show up before key breakouts. Watch the volume too—declining volume with a wedge adds to its strength. Forext’s low spread structure helps you act on these patterns without worrying about large entry costs.
Why These Patterns Matter
Every chart pattern is like a footprint the market leaves behind. For Indian traders trying to make sense of forex trading, knowing these patterns gives structure to decision-making. It’s not about guessing—it’s about recognizing repeat behavior. With tools like swap-free accounts, real-time data, and zero-commission trading, Forext removes the friction so you can focus on your setups.
Spot a double top? Act.
See a triangle forming? Get ready.
Using the Forext app, even short breaks in your day can become opportunities.