3/9/2024 0 Comments Ascending wedge all time highIdentify price consolidation during a bullish uptrend.Taking all the information above into consideration, here are the steps you need to follow in order to identify and use the ascending triangle pattern: Two highs in the upper trendline, three lows in the rising lower trendline, and a clear price intersection that eventually is broken.Īs a result, the pattern is confirmed and the bullish trend continues. In the example below, you can see how the ascending triangle pattern was formed in the USD/JPY 1H chart. Finally, draw a rising trendline with at least two higher lows.Īn example is the best way to understand what the pattern looks like on a price chart. Secondly, try to identify the upper resistance line with at least two highs which will help you determine the upper line. Essentially, what you need to do is find a price consolidation during an ongoing trend. Still, you don’t need to be a rocket scientist to discover the pattern. Therefore, it requires a certain level of experience and judgment to identify the pattern, in particular the upper flat line that acts as a crucial resistance line. However, bear in mind that this charting pattern is rarely recognized perfectly and systematically (like the double bottom pattern and the triple bottom pattern, for example). Generally, the ascending triangle pattern is a bullish formation that occurs during an uptrend and assists traders in finding an upside breakout. How to Identify and Use the Ascending Triangle Candlestick Pattern? It is one of the most commonly used charting patterns and occurs frequently on price charts.īeing the opposite version of the descending triangle, the ascending pattern is characterized by a flat upper trendline that is used as a resistance level and rising lows trendline.Īlso known as the bullish triangle pattern, traders typically use this pattern to identify price consolidation during a bullish trend and enter a long position when the price breaks above the upper resistance horizontal line. The ascending triangle is a bullish continuation pattern that appears during an uptrend and indicates that trend is likely to continue. What is the Ascending Triangle Candlestick Pattern?
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