The diamond pattern is a rare pattern but when it occurs you can expect price reversal on the horizon. This is usually formed at the top end of the rally and as the name suggests the consolidation leads to a diamond shape pattern.
Broadening Formation or Broadening wedge
The broadening wedge is where prices consolidate and in the process form higher highs and lower lows, thus expanding the range. At the end of the consolidation, the broadening wedge pattern breaks by forming a lower high before price fall sharply. The broadening wedge pattern occurs in a bullish trend. Similar to a rising or falling wedge pattern, the broadening wedge pattern is formed by five reference points.