loading...
A neutral continuation pattern with converging trendlines that can break either direction. The breakout direction is determined by the preceding trend.
The Symmetrical Triangle is a continuation pattern characterized by two converging trendlines - a falling resistance line (lower highs) and a rising support line (higher lows) that meet at an apex.
Unlike ascending or descending triangles which have a directional bias, symmetrical triangles are neutral and typically break in the direction of the preceding trend. The pattern represents a period of indecision where buyers and sellers are equally matched.
The symmetrical triangle represents perfect equilibrium. Bulls and bears are both gaining confidence in opposite directions - buyers are willing to pay more (higher lows), while sellers are willing to accept less (lower highs).
This compression creates tension. Both sides know a decision is coming as the apex approaches. The narrowing range means less and less room for price to move, and eventually one side must capitulate.
When the breakout comes, it's often violent because one side was *wrong*. The losing side exits rapidly while the winning side adds positions aggressively. This is why volume expansion on the breakout is critical.
Conservative: Wait for confirmed breakout with close outside triangle + volume.
Aggressive: Enter on breakout candle, or trade in direction of prior trend.
On the opposite side of the triangle - if long on upward breakout, stop below the rising support line.
Measured Move: Height of the triangle at its widest point, projected from breakout.
Typically 1:2 or better. Tighter triangles offer better R:R due to smaller stop distances.
Symmetrical triangles work best as continuation patterns within established trends. The preceding trend direction provides the bias for breakout direction.
These break in the direction of the prior trend 60% of the time. But the 40% that don't can move fast - always use stops.
Go deeper with the Academy lesson. Learn advanced setups, volume confirmation, and real trade examples.
Join Academy →