You are short on a double top that has broken its neckline. What single event most cleanly invalidates the pattern?

A close back above the higher of the two peaks

How is the standard MACD line calculated?

The 12 period EMA minus the 26 period EMA, with a 9 period EMA of that line as the signal line

A 9 period simple moving average of the closing price

The percentage distance between price and its 200 day average

The ratio of up closes to down closes over 14 periods

What is a bullish divergence?

Price makes a lower low while the oscillator makes a higher low

Price and the oscillator both make higher highs

The oscillator crosses above 70

Two moving averages cross while volume rises

How are standard Bollinger Bands constructed?

The 20 period simple moving average plus and minus two standard deviations of price

The 20 period average plus and minus 2 percent

The highest high and lowest low of the last 20 sessions

The 50 period EMA plus and minus one average true range

The Bollinger Bands on a chart have contracted to their narrowest width in a year. What does that tell you?

Volatility has compressed, which often precedes an expansion, though the bands say nothing about direction

A breakout higher is about to happen

The indicator needs to be reset to a longer period

What does an ascending triangle look like?

A flat resistance line on top with a rising series of lows underneath it

Two converging trend lines that both slope down

A flat support line with a falling series of highs above it

A narrow sideways range of equal highs and equal lows

A stock closes on or above its upper Bollinger Band for eight sessions in a row. What is the sensible reading?

The stock is in a strong trend and is walking the band, so a touch alone is no reason to sell

The indicator has broken and should be recalculated

The stock must revert to the middle band within two days

Every touch of the upper band is a sell signal

Why is stacking RSI, stochastics and MACD on one chart usually a poor idea?

All three are derived from recent price momentum, so three agreeing signals are mostly one signal counted three times

Charting platforms cannot display three indicators accurately

They use different data feeds and will disagree by design

Two of the three only work on weekly charts

Technical Analysis quiz intermediate

Chart Patterns and Indicators Quiz: 10 Questions

Ten questions on patterns and indicators, including what each one is actually calculating.

10 questions · about 6 minutes · instant explanations · nothing you answer leaves your browser

AI-assisted, reviewed and edited by Ryza Glorioso. How we use AI

Sep 23, 2026 6 min read

About this quiz

Measured moves, MACD construction, divergence, Bollinger Bands and ATR position sizing, tested with the arithmetic a chart reader should be able to do. Each question comes with a short explanation of the right answer and a link to the guide that teaches it, so a wrong answer is a reading list rather than a dead end.

The quiz draws on the Technical Analysis section. If you are new to the topic, start with the guides below, then come back and test yourself. Scores are calculated in your browser and are not stored or sent anywhere.

Frequently asked questions

Is this quiz free?

Yes. There is no charge, no login and no email capture anywhere on the page, and the scoring runs locally so your answers never leave your browser.

What score counts as passing?

Seven out of ten is a good intermediate result. The construction questions matter most, because an indicator you cannot calculate by hand is one you cannot judge when it disagrees with the price.

Do chart patterns work reliably?

Published tests of pattern outcomes disagree with each other, and results shift with the market, the timeframe and the cost of trading. Treat a pattern as a way to define entry, invalidation and size rather than as a probability you can lean on.

About this quiz

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