Descending Triangle
Definition
Flat support below, falling resistance above — sellers press lower into a floor.
Psychology
Sellers get stronger each bounce while the floor holds — until it may break.
Real-life analogy
💡 Sellers keep pushing price down onto a floor while each bounce is weaker.
Expected direction
down
Entry / Stop / Target
Entry: On a confirmed close below the flat support. · Stop: Above the most recent lower high. · Target: Height of the triangle projected down from the breakdown.
Historical behaviour
More reliable as a continuation within a downtrend.
Illustrative success rate
~60-70% breakdown in trend direction · High reliability
Common beginner mistakes
- • Front-running the breakdown
- • Ignoring false breaks
Quick quiz — did you understand?
1. Is the Descending Triangle generally considered bullish, bearish, or neutral?
2. After a confirmed Descending Triangle, the expected direction is usually:
3. Which is a common beginner mistake with the Descending Triangle?
Educational and probability-based analysis only. This is not financial advice and not a prediction of real market outcomes.