How to trade the pattern: entry, target and stop

Knowing a pattern’s shape is half the way; the other half is knowing how to translate it into a decision: where you enter, where your target is, and where you exit if you are wrong. Every pattern we have studied follows the same logic.

The entry point

The golden rule: do not enter before the pattern is complete. Its completion means breaking its decisive level (the neckline, the intermediate line, or the side of the triangle or rectangle) with a clear close outside it. Entering before the breakout is guessing, not reading.