I like trading within triangle patterns like this. They have well defined resistance and support and you can make money trading both directions.
Had a very successful EURJPY trade week of 2/7 going short 130.60 for close to 200 pip gain. I traded the pattern after resistance held. NOTE - Trading off of the resistance in a is going WITH THE TREND. Momentum is already established with going with the trend. Notice the flow of LH & LLs. This makes for good expectancy. I was able to add to my position after the first pull back and I that trade generated an additional 60 pips. This trade generated 260 pips and I the pair dropped another ~180 pips after I closed my trade.
Current trade is counter trend, expecting strong support to hold. In this example, my first entry was unsuccessful. I got in the trade a little late off of the initial bounce and didn't demonstrate patience to wait for a pullback. I manually closed the trade with a small loss to correct my mistake and wait for a more favorable entry. My second entry (currently active) had a little more supporting evidence because it pullback and at least initially did not test last LL. It is currently consolidating.
See current 1D chart: Clear down trend, but at a key strong support.
TAKE AWAY when trading ):
1. Trading after trend has been established (HH/HL or LH/HL) allows for higher expectancy due to momentum is going with the trade.
2. Trading the first bounce will have a lower expectancy. If trading the first bounce, SL needs to be below last LL (or HH in uptrend) or the strong support, whichever is lower. Only trade when their is a favorable risk/reward at that SL. Keep in mind that the first pullback could easily erase gains. Evaluate situation to determine to take gains early and reenter trade or add to position.
3. Better expectancy is to trade following first pullback, the LL (or HH in uptrend) was not tested, and indication of a new HL (LH) trend reversal. SL should be slightly below the last LL (or HH in uptrend).
3. Even better expectancy would be after confirmation of a HL (or LH in uptrend) and making a new HH (or LL in uptrend). In this case, risk/reward needs to be favorable to enter trade. Expectancy higher but potentially lower reward.
In all cases, there needs to be supporting evidence from indicator (e.g. divergence or convergence)
Additionally, once HH/HL (or LH/LL) have been established, assuming their is plenty of room to run before reaching key resistance (or key support), consider adding to positions after each pullback and adjusting SL to previous entry.