Group: Trend Continuation
Definition:
A formation where resistance remains flat while higher lows are created, signaling growing buying pressure.
Key Characteristics:
- Horizontal resistance
- Rising lows
- Declining volatility
- Upside breakout
How to Trade:
Buy on a breakout above resistance. Place the stop-loss below the last low.
Common Mistakes:
- Entering trades inside the triangle
- Ignoring volume (weak breakouts often fail)
Conclusion:
A high-probability bullish continuation pattern, frequently seen in stocks and cryptocurrencies.
