GALA / TetherUSLong
Descending Triangle
A descending triangle is a bearish chart pattern used in technical analysis to predict a potential downward price movement. It's formed by drawing two converging trend lines:
1. A descending resistance line (upper line)
2. A horizontal or slightly sloping support line (lower line)
The pattern appears as a triangle, with the price action contracting and consolidating between the two lines. Here are some key characteristics:
1. The upper line connects a series of lower highs
2. The lower line connects a series of equal lows or slightly lower lows
3. The price action is contained within the triangle
A descending triangle can be a powerful signal, but it's essential to combine it with other forms of analysis and risk management techniques to ensure a well-informed trading decision.
1. A descending resistance line (upper line)
2. A horizontal or slightly sloping support line (lower line)
The pattern appears as a triangle, with the price action contracting and consolidating between the two lines. Here are some key characteristics:
1. The upper line connects a series of lower highs
2. The lower line connects a series of equal lows or slightly lower lows
3. The price action is contained within the triangle
A descending triangle can be a powerful signal, but it's essential to combine it with other forms of analysis and risk management techniques to ensure a well-informed trading decision.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.