Triangles | Symmetrical broadening wedge | ||

Wedges | Broadening wedges | ||

Flags and pennants | Right-angled broadening wedge | ||

Head and shoulders | Double (or triple) tops (or bottoms) |
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Rectangles | Cup with handle |

Symmetrical triangles represent areas of indecision in which the forces of supply and demand are nearly equal. Each new summit is lower than the previous one and each new low is higher than the previous one, thereby taking the form of a triangle. This indecision ends when the forex price breaks through the triangle. Statistics demonstrate that the breakout of symmetrical triangles usually occurs in the direction of the trend. The probability of success is therefore higher when you think of symmetrical triangles as being a continuation pattern of forex prices.

Ascending and descending triangles are usually continuation patterns in forex trading. Ascending triangles in an uptrend are statistically more reliable than descending triangles. Ascending triangles consist of a horizontal resistance and a lower support line that is tilted in the direction of the trend. To validate the pattern, price must touch each of the upper and lower lines twice.