Bullish Rectangle Pattern
đ A Bullish rectangle is a chart pattern formed when the price is bounded by parallel support and resistance levels.
đ A rectangle exhibits a period of consolidation or indecision between buyers and sellers as they take turns throwing punches but neither has dominated.
đ The price will âtestâ the support and resistance levels several times before eventually breaking out.
đ In the case of a Bullish Rectangle chart pattern, the stop loss should be placed at the previous low of the pattern.
đ The limitation for the target will be the previous resistance level which was formed before by the price action.