Pattern & Trends
The Pattern & Trends category includes structural pattern recognition metrics that highlight potential breakout, reversal, or continuation setups.
These tools analyze multi-day price behavior and market context to surface patterns commonly used in discretionary and systematic strategies.
Universal Pattern Detection
Scans for exclusively bullish or bearish technical patterns as of the most recent regular session close, drawing from all available MarketAlpha pattern libraries and candlestick models. These include a wide range of signals—such as formations, reversals, breakouts, breakdowns, and trend continuation setups.
The metric returns a count of patterns that align in one direction only (either all bullish or all bearish), helping surface clean, high-conviction signals without conflicting pattern noise. This makes it easier to isolate tickers with strong directional bias.
Regular CloseCompact Name:
Pattern Detection
RSI Divergence 14 Days
Tracks bullish or bearish divergence including hidden divergence between price action and the 14-day Relative Strength Index (RSI), using regular session closing prices. A divergence occurs when price moves in the opposite direction of RSI, signaling weakening momentum.
- "P" indicates bullish divergence
- "N" indicates bearish divergence
- 0 = unconfirmed divergence as of the last close
- 1+ = confirmed divergence, with the number indicating how many days since confirmation
Divergence is a lagging indicator and needs at least 1 day to be confirmed.
Highlights possible trend reversals or exhaustion zones and can aid in identifying setups where price strength is not supported by momentum. Often used to support reversal hypotheses or flag potential fading opportunities.
You can use the Bullish RSI Divergence Days and Bearish RSI Divergence Days filters to screen for the number of days since a divergence occurred.
Regular CloseCompact Name:
RSI DVG
ANTS Pattern
ANTS pattern (Approaching Numbers Trading System). Detects the ANTS pattern, which confirms buying pressure via momentum, volume, and price alignment. It signals buying pressure and institutional accumulation.
- M = Momentum confirmed
- V = Volume confirmed
- P = Price confirmed
Supports identification of stocks under accumulation with potential for near-term expansion.
The ANTS pattern is derived from the trading framework developed by David Ryan, three-time U.S. Investing Championship winner.
Regular Close Custom Metric3 Days Breaktout & Breakdown Pattern
Identifies strong directional moves by comparing the last completed regular close price to the highs and lows of the last three days. Breakouts signal sustained bullish momentum, while breakdowns indicate sustained bearish pressure.
- 3 Days Breakout: A strong bullish signal indicating sustained upward momentum. The price closes above the highs of the last three days, while the low remains within the range of the previous three days, showing stability and breakout potential.
- 3 Days Breakdown: A strong bearish signal indicating sustained downward momentum. The price closes below the lows of the last three days, while the high remains within the range of the previous three days, signaling weakness and breakdown potential.
Regular CloseCompact Name:
3 Days BreakOut/Dn
Bull/Bear Formation Pattern
Highlights early signs of potential bullish or bearish momentum based on the relationship between the last completed regular open, high, low, and the previous close, indicating shifts in market sentiment.
- Bullish Formation: A potential bullish signal where the open and low prices are both above the previous close of the last completed trading day. This suggests buyers are stepping in early and defending higher levels.
- Bearish Formation: A potential bearish signal where the open and high prices are below the previous close of the last completed trading day. This shows sellers are active and pushing prices lower early in the session.
- Strong Bullish Formation: A strong bullish continuation signal: open, low, and high are all above the previous close and high of the last completed trading day, indicating increasing buying interest and upward momentum.
- Strong Bearish Formation: A strong bearish continuation signal: open, high, and low are all below the previous close and low of the last completed trading day, signaling increasing selling pressure and downward momentum.
Regular CloseCompact Name:
Bull/Bear Formation
Consolidation Pattern
Indicate periods of reduced volatility where prices stay within the previous day's range, signaling a pause in the trend. Bullish or bearish consolidations suggest potential trend continuation based on underlying strength or weakness.
- Bullish Consolidation: A potential continuation pattern where the price remains within the high and low of the previous day, with the low staying above either the previous close or open. This suggests strong buyer support and reduced volatility.
- Bearish Consolidation: A potential continuation pattern where the price stays within the high and low of the previous day, with the high below either the previous close or open. This indicates persistent seller control and reduced volatility.
Inside/Outside Days Pattern
Detects inside, outside, double inside, and double outside days.
Used to assess contraction (inside day) or expansion (outside day) for volatility-based strategies.
Regular CloseCompact Name:
Inside/Outside Days
Reversal Pattern
Detects shifts in market direction, identifying key signals where trends may reverse from bullish to bearish or vice versa. These patterns highlight turning points driven by significant price action and sentiment changes.
- Bullish Reversal Pattern: A signal of a potential upward trend shift, triggered by conditions like a close above the previous high, recovery after breaking the previous low, or a strong open and close above the open of the last completed trading day.
- Bearish Reversal Pattern: A signal of a potential downward trend shift, triggered by conditions like a close below the previous low, failure to hold above the previous high, or a weak open and close below the open of the last completed trading day.
Narrow Range Days
Identifies a narrow price range observed over the last 4 or 7 days in the trading activity of a security. Indicates a period of reduced volatility or consolidation.
Supports breakout anticipation or range-trading strategies.
Compact Name:
NR4, NR7
Availalbe for 4 and 7 days
Tight Range
Proprietary tight range detection confirming price consolidation as of previous trading day's close.
Highlights potential setups where coiled price action may precede expansion moves.
Regular Close