# PATTERN: Rainbow Road

> This heatmap is characterized by having multiple prominent nodes of positive and negative values, in many cases bearing a resemblance to a rainbow. Another…

> **Note:** Educational material, not financial advice. Nothing here is a recommendation to buy or sell any security. Options involve significant risk and are not suitable for every investor. These are past examples chosen to illustrate a reading; they are not typical results, and past behavior of any setup does not guarantee future results.

## DESCRIPTION

This heatmap is characterized by having multiple prominent nodes of positive and negative values, in many cases bearing a resemblance to a rainbow. Another distinct feature of this heatmap is the lack of a clear range for price to trade within, heralding choppy and erratic price action.

## HOW TO APPROACH

When positioning is this vague, the map offers little to lean on. Many traders treat it as a reason to stand aside until a clearer structure forms.

### Example 1

![Heatseeker map: HOW TO APPROACH, PATTERN: Rainbow Road](https://www.skylit.ai/docs/images/1mLmPgxJw4whEwuUhGve.png)

Indecisive positioning near the beginning of the session, with nodes of interest spread across an 80-point range. (07/02/25)

### Example 2

![Heatseeker map: HOW TO APPROACH, PATTERN: Rainbow Road](https://www.skylit.ai/docs/images/Ihh33odYBSSF82qA1c6v.png)

Multiple prominent purple nodes in the 641-637 range suggest choppy and erratic price action. (08/19/25)

### Example 3

![Heatseeker map: HOW TO APPROACH, PATTERN: Rainbow Road](https://www.skylit.ai/docs/images/eHLvk5dntEECbfaFwqXW.png)

A cluster of prominent nodes can be seen across a 100-point range. (08/07/25)
