The Breakaway Pattern Recognition in TradingView
Candlestick patterns are a great addition to market analysis. Some may even consider them vital in research and trading. This article presents the Breakaway pattern and shows how to code a scanner in TradingView that detects it.
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Mastering Financial Pattern Recognition
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The Breakaway Pattern
Candlestick charts are among the most famous ways to analyze the time series visually. They contain more information than a simple line chart and have more visual interpretability than bar charts.
The Breakaway pattern is a five-candle configuration that represents a change of dynamic of a severe one-sided move.
The bullish Breakaway is composed of four bearish candlesticks where ideally the second one gaps below the first one, then a fifth big bullish candlestick closes above the open of the second bearish candlestick. The following Figure shows a theoretical illustration of the bullish Breakaway.
The bearish Breakaway is composed of four bullish candlesticks where ideally the second one gaps above the first one, then a fifth big bearish candlestick closes below the open of the second bullish candlestick. The following Figure shows a theoretical illustration of the bearish Breakaway.