The Symmetric Triangle Pattern | Definition

In contrast to the ascending triangle and the descending triangle pattern, which are continuation patterns (in the direction of the trend that prevailed until then), this is not the case with the symmetrical triangle pattern. This pattern does not assume a continuation.

Symmetrical Triangles represent a period of consolidation that may forecast either continuation of the existing trend or a trend reversal. In other words, it may represent a breakout or breakdown. A breakdown from the lower trendline marks the start of a new bearish trend, whereas a breakout from the upper trendline indicates the start of a new bullish trend.

Symmetrical Triangle Chart Pattern Example

The following things are important when identifying an symmetrical triangle:

1. A symmetrical triangle pattern consists of two converging trend lines connecting a series of consecutive peaks and troughs.
2. These trend lines should have a more or less equal slope.
3. Ideally, volume rises just before or during the breakout from the symmetrical pattern.
   
   

How to find and trade Symmetrical Triangle Chart Pattern

The Symmetrical Triangle chart pattern is supported in our stock screener, you can read more in our article on how to find and trade symmetrical triangles