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Hook Reversal

The Hook Reversal is a 1-3 session pattern where price opens and closes within the range of the previous session, signaling short-term reversal.

HookBase lineHook: Reversal hook at top/bottom → Reversal

Pattern Details

Category

reversal

Success Rate

67%

Average Move

+8%

Duration

1-3 sessions

Pattern Structure

Pattern Structure
Key components that define this chart pattern
  • 1
    Session 1: Strong trend
  • 2
    Session 2: Opens within session 1 range, closes opposite direction
  • 3
    Session 3 (optional): Confirms reversal

Trading Rules

Trading Rules
Essential rules for trading this pattern successfully
  • ✓
    Enter position when confirmation session closes
  • ✓
    Volume should decrease in pattern
  • ✓
    Short-term target
  • ✓
    Stop loss close to entry point
Trading Tips
  • Short-term pattern, 1-3 sessions
  • Effective in trending markets
  • Combine with support/resistance

Statistics

Breakout Statistics
Bullish Breakout45%
Bearish Breakout55%
Performance Metrics
Average Rise+8%
Average Decline-8%
Pullback Rate25%