Patterns › Falling wedge vs Rising wedge
Look-alikes
Falling wedge vs Rising wedge
They look alike, so beginners mix them up. Here is what each one means, and how often each one worked on real charts.
Falling wedge
Price falls inside two falling lines that squeeze together, then breaks up.
A falling wedge has two lines that both slope down, with the top line falling faster than the bottom line, so they squeeze together. Price is still falling, but each drop covers less ground. Traders see it as a bullish pattern, and it completes when price closes above the upper line. In our library we only count wedges that break up.
Mixing up a falling wedge with a falling channel, where both lines drop at the same speed and do not squeeze.
Rising wedge
Price climbs inside two rising lines that squeeze together, then breaks down.
A rising wedge has two lines that both slope up, with the bottom line rising faster than the top line, so they squeeze together. Price is still climbing, but each push up gains less ground. Traders see it as a bearish pattern, and it completes when price closes below the lower line. In our library we only count wedges that break down.
Mixing up a rising wedge with a rising channel, where both lines climb at the same speed and do not squeeze.
Real odds side by side
| Pattern | Found | Target first | Stop first | Went nowhere |
|---|---|---|---|---|
| Falling wedge | 1,998 | 36% | 58% | 7% |
| Rising wedge | 2,179 | 39% | 56% | 5% |
Counted by the Trading Class research engine on real past candles: entry at the signal candle's close, target 1.5 × ATR(14), stop 1 × ATR(14), 12 candles to decide, a candle that touches both counts as the stop. How we count. Past data, not a forecast and not advice.