Price Reject Continuation Trading Chart Pattern

In contrast to a confirmed resistance or support reverse pattern, the price reject pattern is intended to give a continuation trading setup. The pattern would occur after an initial reverse went through a price point that rejected and continued the current swing – for instance break support and then have it shift to resistance and reject, continuing the sell direction.

Confirmed Price Resistance Or Support Reject Chart Pattern

Trading method chart reading video discussing the confirmed price reject pattern that is very useful for short option entry timing, since the pattern includes a price failure of support or resistance, combined with a momentum extreme. Also discussed is a chart misread, where a reject only might be traded directly into an underlying continuation setup.