Charting The Market: Triangles by David Penn
ARTICLE SYNOPSIS ...Stocks & Commodities V. 23:1 (124-125): Charting The Market: Triangles by David Penn
Writing about triangles as significant patterns in technical analysis, trader, author, and educator John Murphy observes that:
""? The triangle is usually a continuation pattern. Its formation signals that a trend has gotten ahead of itself and needs to consolidate for a while. Once that consolidation has been completed, the prior trend usually resumes in the same direction. In an uptrend, therefore, a triangle is usually a bullish pattern. In a downtrend, a triangle is usually bearish.""