3 Secrets That Will Bring You Success For Any Triangle Pattern
Not all triangle patterns are as powerful and reliable. In fact, triangle patterns often fail to deliver. However, there are 3 secret characteristics of those which are highly reliable. The profits that these triangles bring are usually massive, out-sizing the amount of risk.To get more news about WikiFX, you can visit wikifx official website.
z88;z88;Before diving in to the 3 secret characteristics, youll need to know how triangle chart patterns look like and the 2 most common types of triangles.
z88;z88;1. At least 4 swings (up and down), with one of the lines being horizontal, hence the name of this triangle pattern
z88;z88;1. Each peak is lower than the previous and each bottom higher than the previous
z88;z88;2. Prices and volume diminish as the pattern is formed
z88;z88;3. Prices and volume usually move sharply upon the breakout (only for a bullish breakout)
What Happens Inside The Trianglesa311;
z88;z88;In a bullish triangle, the bulls and bears are having a massive fight. Initially, the bulls look to be winning, but the bears wont give up without a fight. As the bulls push prices up to a certain level, the bears step in, pushing prices down. The same cycle repeats, forming a triangle.
z88;z88;In a bearish triangle, the bears force prices down before the bulls wake up to push prices back up. This cycle repeats, forming a triangle.
3 Secret Characteristics
z88;z88;You have learnt how to identify and differentiate the 2 main types of triangles. You are ready to discover what the 3 secret characteristics are.
z88;z88;These 3 secret characteristics improve the reliability of the pattern:
z88;z88;1. The nearer the breakout occurs to the apex, the better
z88;z88;2. The more prices touch the lines, the better
z88;z88;3. Be wary if the volume is low during the bullish breakout