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Quasimodo Pattern (Over and Under)

    • 2507 posts
    April 13, 2021 3:22 AM EDT
    The Quasimodo Pattern or Over and Under pattern is a relatively new
    entrant to the field of technical analysis in the financial markets.
    Although new, the Quasimodo pattern is a commonly occurring theme that
    is more frequent when price carves a top or a bottom or when price
    begins a major correction to the trend.To get more news about WikiFX, you can visit official website.

      The Quasimodo Pattern, although complex as it might seem is actually
    very simple. This trading pattern is especially powerful because when it
    occurs, in most cases, traders will notice a confluence with other
    methods of analysis.

      For example, when a trader spots a Quasimodo pattern near a support or
    resistance level, it increases the confidence of the trader or the
    trading probability. Likewise, when trading divergences, when you spot a
    Quasimodo pattern, that confluence can be used to trade the divergence
    set up with more confidence.

      As we can see from the above, the Quasimodo pattern is not a trading
    strategy by itself but is more of a confluence pattern that can be used
    to confirm a trader‘s bias. Of course, the Quasimodo pattern doesn’t
    appear all the time, but when it does, traders can be sure that the
    market offers a high probability trade set up.  As we can see from the
    above, the Quasimodo or Over and Under pattern is a relatively simple
    pattern, which when used in conjunction with other trading strategies or
    signals offers a great way to increase the probability of a trade set