Northspread
Formula sheet/NISM Series XV: Research Analyst/Technical Analysis
[ TECHNICAL ANALYSIS ]

Chart Pattern Breakout Target Projection

Breakout Target(Bullish)=Breakout Price Level+Pattern Height(at widest point)\text{Breakout Target} (Bullish) = \text{Breakout Price Level} + \text{Pattern Height} (\text{at widest point})
Breakdown Target(Bearish)=Breakdown Price Level−Pattern Height(at widest point)\text{Breakdown Target} (Bearish) = \text{Breakdown Price Level} - \text{Pattern Height} (\text{at widest point})
Variables

Applicable to Ascending/Descending/Symmetrical Triangles, Head & Shoulders, Flags, and Pennants.

Worked example
Chart Pattern Target Projection (Ascending Triangle)

Nifty 50 forms an Ascending Triangle over 6 weeks. The horizontal resistance ceiling is at 25,000, and the lowest swing point at the base of the triangle is at 24,100. Nifty breaks out above 25,000 with heavy trading volume. Calculate the projected minimum price target.