I noticed that many traders get confused by chart patterns, even though they provide fairly clear signals. I decided to look into the main triangle models in more detail—those that really work in practice. I’ll start with what you need to be able to distinguish these figures and understand what they signal.

The core idea is simple: triangles form when the price compresses between the support and resistance lines. Each type gives different signals, and that’s why they matter for trading.

A descending triangle is a bearish pattern that often precedes a decline. You can see resistance falling while support stays at the same level. When the price breaks through this horizontal support, that’s a signal to open a sell position. The main thing is to wait for confirmation through volume. False breakouts happen quite often, especially on low volumes. The descending triangle works best when there is already a downtrend, and volume decreases as the price approaches support. I’ll place the stop-loss above the last resistance line.

An ascending triangle is the opposite. This is a bullish model with a horizontal resistance line on top and a rising support line at the bottom. It usually appears in the middle of an uptrend. When the price breaks resistance with increasing volume, that’s a buy signal. I set the stop-loss below the last support. Such a pattern is ideal for trading within the existing uptrend.

A symmetrical triangle is a neutral model. Here, both resistance and support converge toward the center. The price may break out either upward or downward, depending on who is stronger—buyers or sellers. The key rule: don’t enter a position until there is a clear breakout. Decreasing volume during formation can signal that a breakout is close.

An expanding triangle is the most volatile pattern. The support and resistance lines diverge, showing rising uncertainty in the market. Such models often appear before major news or in very volatile markets. Here, maximum caution is required—I place the stop-loss beyond the furthest point of the figure.

General rules for all patterns: volume is your best friend. Increasing volume after a breakout significantly raises the likelihood that the move will be substantial. Also, these models work more accurately if they’re identified within a clear existing trend. Risk management via a stop-loss is not an option—it’s a necessity.

In practice, the descending triangle often catches good shorts if you wait for confirmation correctly. But the main thing to remember is that no pattern provides a 100% guarantee. It’s simply a tool that increases the probability that you’ll be right. Combine patterns with other indicators, manage risk properly, and the results will follow.