Descending Triangle
A descending triangle is a price-chart pattern formed by a downward-sloping trendline that connects lower highs and a relatively flat horizontal support line. As price action narrows within the triangle, a break below the support line is typically watched as a possible continuation of the prior price decline.
Example: Example: On a daily chart, ABC Inc. forms lower highs while prices repeatedly test a flat support near $25. After a break below $25, the pattern is observed in the context of a prior price decline.
💬 Comments