Mastering Ascending Triangle Pattern Trading Strategies
Learn to trade Ascending Triangle patterns for maximum profit with expert tips and real-world examples
Low-code tools are going mainstream
Purus suspendisse a ornare non erat pellentesque arcu mi arcu eget tortor eu praesent curabitur porttitor ultrices sit sit amet purus urna enim eget. Habitant massa lectus tristique dictum lacus in bibendum. Velit ut viverra feugiat dui eu nisl sit massa viverra sed vitae nec sed. Nunc ornare consequat massa sagittis pellentesque tincidunt vel lacus integer risu.
- Vitae et erat tincidunt sed orci eget egestas facilisis amet ornare
- Sollicitudin integer velit aliquet viverra urna orci semper velit dolor sit amet
- Vitae quis ut luctus lobortis urna adipiscing bibendum
- Vitae quis ut luctus lobortis urna adipiscing bibendum
Multilingual NLP will grow
Mauris posuere arcu lectus congue. Sed eget semper mollis felis ante. Congue risus vulputate nunc porttitor dignissim cursus viverra quis. Condimentum nisl ut sed diam lacus sed. Cursus hac massa amet cursus diam. Consequat sodales non nulla ac id bibendum eu justo condimentum. Arcu elementum non suscipit amet vitae. Consectetur penatibus diam enim eget arcu et ut a congue arcu.
Combining supervised and unsupervised machine learning methods
Vitae vitae sollicitudin diam sed. Aliquam tellus libero a velit quam ut suscipit. Vitae adipiscing amet faucibus nec in ut. Tortor nulla aliquam commodo sit ultricies a nunc ultrices consectetur. Nibh magna arcu blandit quisque. In lorem sit turpis interdum facilisi.
- Dolor duis lorem enim eu turpis potenti nulla laoreet volutpat semper sed.
- Lorem a eget blandit ac neque amet amet non dapibus pulvinar.
- Pellentesque non integer ac id imperdiet blandit sit bibendum.
- Sit leo lorem elementum vitae faucibus quam feugiat hendrerit lectus.
Automating customer service: Tagging tickets and new era of chatbots
Vitae vitae sollicitudin diam sed. Aliquam tellus libero a velit quam ut suscipit. Vitae adipiscing amet faucibus nec in ut. Tortor nulla aliquam commodo sit ultricies a nunc ultrices consectetur. Nibh magna arcu blandit quisque. In lorem sit turpis interdum facilisi.
“Nisi consectetur velit bibendum a convallis arcu morbi lectus aecenas ultrices massa vel ut ultricies lectus elit arcu non id mattis libero amet mattis congue ipsum nibh odio in lacinia non”
Detecting fake news and cyber-bullying
Nunc ut facilisi volutpat neque est diam id sem erat aliquam elementum dolor tortor commodo et massa dictumst egestas tempor duis eget odio eu egestas nec amet suscipit posuere fames ded tortor ac ut fermentum odio ut amet urna posuere ligula volutpat cursus enim libero libero pretium faucibus nunc arcu mauris sed scelerisque cursus felis arcu sed aenean pharetra vitae suspendisse ac.
What Is an Ascending Triangle?
This pattern emerges when the price movement allows for a horizontal line to be drawn across the swing highs, while a rising trendline is drawn along the swing lows.
These two lines together form a triangle shape. Traders actively monitor triangle patterns for potential breakouts, which can occur either upward or downward.
Ascending triangles are often referred to as continuation patterns because they typically result in a breakout in the same direction as the prevailing trend that was present before the triangle formation.
This pattern offers traders a clear entry point, profit target, and stop-loss level, making it a tradable opportunity.
It is worth noting that an ascending triangle can be distinguished from a descending triangle.
How to Identify and Use the Ascending Triangle Candlestick pattern
To identify the ascending triangle pattern, you need to look for a period of price consolidation within an ongoing uptrend. During this phase, the price will exhibit a series of lower highs and higher lows, indicating a temporary balance between buyers and sellers.
The upper resistance line of the pattern can be found by connecting at least two highs within the consolidation phase, while a rising trendline is drawn by connecting at least two higher lows.
Confirming the pattern involves ensuring that the price was in a clear uptrend before the consolidation phase,
the upper resistance line is horizontal or slightly slanted upward, and the rising trendline intersects with the upper resistance line.
Additionally, analyzing candlestick patterns within the consolidation phase, such as doji, hammer, or engulfing patterns, can provide further confirmation of buying pressure.
Once the ascending triangle pattern is confirmed, traders can set their entry and exit points. Typically, a long position is entered when the price breaks above the upper resistance line, indicating a bullish breakout.
The height of the triangle pattern can be used to estimate a target price level, and a stop-loss order should be placed below the pattern to manage risk.
Key Takeaways
- Ascending triangles are considered a continuation pattern, as the price will typically break out of the triangle in the price direction prevailing before the triangle, although this won't always occur.
- The trendlines of a triangle need to run along at least two swing highs and two swing lows.
- A long trade is taken if the price breaks above the top of the pattern.
- A short trade is taken if the price breaks below the lower trendline.
- A profit target is calculated by taking the height of the triangle, at its thickest point, and adding or subtracting that to/from the breakout point.
- A stop loss is typically placed just outside the pattern on the opposite side from the breakout.
