The rectangle is a classical technical analysis pattern described by horizontal lines showing significant support and resistance. Rather than modern technical analysis, which relies on indicators, ...

Rectangles combine the ideas of support and resistance into a single chart pattern. When prices encounter a resistance level, they often fall. At support levels, prices often find a short-term bottom.

Chart expert Gianni Di Poce wants traders to be able to identify and understand chart patterns for many reasons. One that he highlighted during Benzinga's recent Stocks & Options 101 Boot Camp: "there ...