Glossary › triangle

Trading glossary · patterns

triangle

A chart shape where price gets squeezed between two lines that come together, before it breaks out.

The fuller meaning

A consolidation bounded by two converging trendlines: ascending (flat top, rising lows), descending (flat bottom, falling highs) or symmetrical (both converging). Volatility shrinks toward the apex; the pattern completes on a close outside a boundary and can fail after the break.

triangle.

Related words

apex · ascending triangle · bear flag · bull flag · busted pattern · chart pattern · continuation · continuation pattern · converging lines · cup and handle