"Defining the role of the structure."
Continuation vs Reversal
Every pattern serves a specific structural purpose. Understanding whether a pattern is likely to continue the trend or reverse it is the core of technical analysis.
Continuation
The trend is "taking a breath". Once the period of indecision is complete, the prior trend usually resumes.
Reversal
The trend has "exhausted itself". Momentum is shifting to the opposite side as early trend followers exit.