Shape: Triangle

Technical analysis figure: Triangle. How is it formed on the chart, what types of triangles exist and how to use them in trading?

The formation of a forex triangle can often be seen on different timeframes and if used in trading forex strategies or binary options strategies in conjunction with a triangle, then the picture of what is happening will be seen even more clearly.

Triangle types

There are 3 types of triangles:

- ascending triangle
- Descending Triangle
— symmetrical triangle

They can be easily seen on the charts, the triangle is a frequent occurrence, so you should look closely at it.

When a triangle is formed, everything ends up with the price breaking in one direction, but in which one — it depends on different conditions.

I recommend using strategies, and this figure is easy to take into account when trading, and if a triangle appears, then the market is narrowing in a narrow angle.

The triangle shape is almost the same as figure wedge, but there are a number of features, if you look closely, then the triangle has a different construction, but the principle of narrowing in a narrow angle is the same.

Read also - Shape: Wedge

Here are examples of existing triangles:

ascending triangle

In an ascending triangle, as a rule, the price breaks up the resistance line, you can enter from a rollback using this strategy or place a pending order for 2 points with a take profit of 10-15 points, it usually works.

Descending triangle

In a descending triangle, as a rule, the price breaks down the support line, therefore, we act in the same way as with an uptrend.

symmetrical triangle

With a symmetrical triangle it is already more difficult, here the price can hit both up and down.

Therefore, you can place 2 opposite pending orders by drawing lines to see the boundaries of the triangle. Or wait where the price will go, and then enter from a rollback, it’s more reliable.