Written and copyright © 2011-2013 by Thomas N. Bulkowski. All rights reserved.
The table shows the best performing chart patterns for upward breakouts (top half) and downward breakouts (bottom half), sorted by the 2 month's performance.
I scanned my database of chart patterns (the popular ones) and found over 30,000 samples. Then I measured the price move 1, 2, 3 and 6 months after the breakout. However, I show only a
maximum of 3 months in the table.
This measurement technique is different than the one I used in my books. There, I measured the move assuming a perfect trade, from breakout to ultimate high
or low (after which price dropped or rose by at least 20%).
This table is just another way of slicing the same information. However, it does contain surprises.
Notice that the cup with handle doesn't appear in the list. That's because performance is poor -- it ranked 11th, so it didn't make the top 10.
Click on the associated link for more information about a chart pattern.
-- Thomas Bulkowski
- Alphabetical list of chart pattern performance, by rank.
- Failures of chart patterns sorted by breakeven failure rate rank.
- Performance of chart patterns, sorted by average rise or decline rank.
- Alphabetical list of event pattern performance, by rank.
- Failures of event patterns sorted by breakeven failure rate rank.
- Performance of event patterns, sorted by average rise or decline rank.
Written and copyright © 2011-2013 by Thomas N. Bulkowski. All rights reserved. Sad case: two dozen empties.