A basic guide on how to play the descending triangle breakout.
Works Referenced:
(Kirkpatrick and Dahlquist, 2010, p. 315)
(Bulkowski's Descending Triangles, 2005)
Kirkpatrick and Dahlquist state that descending triangles breakout to the downside 64% of the time (2010, p. 315).
But
"Price Breakout Down: Price fails to gain at least 5% from breakout 16% of...
Hi All,
This is just a initial stage of the pattern, the pattern usually change to ascending/descending triangle and sometime to raising/ falling wedge or a channel. Just monitor on the declining of the volume until the breakout volume spike. (to identify the target price).
1. Descending Triangle - This pattern is usually a continuation pattern, but some cases,...
