# Trend continuation VS Trend reversal pattern

OANDA:USDJPY   U.S. Dollar / Japanese Yen
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4991
Although both patterns formation is quite same.

1. Ascending broadening wedge ( Trend reversal pattern )
2. Expanding triangle ( Trend continuation pattern )

Ascending broadening wedge forms with the divergence. If 1st impulse is sharp then it gives signal that trend is going to reverse.

Expanding triangle forms most of the time against the divergence. If expanding triangle forms corrective wave at top then it gives signal that price is going to continue with the previous trend.
Nov 26
Comment: I hope this example will help much better. Expanding triangle. (Trend continuation pattern )
Nov 26
Comment: I hope this example will help much better. Ascending broadening wedge. ( Trend reversal pattern )

Nov 26
Comment: ascending broadening wedge with divergence.
Nov 26
Comment: This idea is based on my understanding of markets and you can agree or disagree with it you have full right to agree or disagree mate.
Can you please post the macd for the Expanding triangle (Trend continuation pattern ) chart similar to the macd chart for ascending broadening wedge with divergence.
AmitKumareb
I want the the chart for " Expanding triangle forms most of the time against the divergence" just like the one posted for "ascending broadening wedge with divergence."
thanks a lot for your sharing. I am a new trader, is my understanding right, that the corrective wave will lead to reversal trend and impulsive wave to countinuation? another question, how to identify the asending wave is corrective or impulsive, do 3 waves means corrective wave, 5 waves means impulsive wave?
Can someone explain, why wedges lead to revearsals and triangles lead to continuation? What is the psycholgical background, that traders don´t trust in continuation when wedge occurs and believe in contuation though price reverses to support several times. To me it seems more logic that a wedge, which has rising lows and highs looks like continuation. I know the fact, but I don´ understand, why it works.
Great informative post. Thank you bro.
hey mate thanks for educational material its really good n useful. I learned alot from you

can you check my chart and give some thoughts on it thnx