There is another forex chart pattern is shaped like a triangle - is a wedge pattern. During the formation of these two figures is also about the same. The significant difference of the wedge of the triangle is the slope of the summit, mostly looking in the direction opposite to the prevailing trend. The breakthrough in the case of the formation of the model often occurs in the direction opposite to its slope, and with it in a direction similar to the previous trend.
Model can be formed as a bear and a bull chart, in both cases, the presence of the wedge would indicate that trend continues. The price target for such a figure can not be evaluated.
There is a pattern of this type are often at crucial moments when the plot begins to change its direction. Use this model extremely useful in cases where the rate reaches the top or vice versa - is lowered to its minimum (bottom). With this figure has a second, less common name - the diagonal triangle.
Bearish upward pattern in most cases breaks in the opposite slope to the top, at the time of reversal.
A similar situation is expected bullish pattern lines which will make its way in the direction of the graph of the uptrend.
If the slope of the figure points to the opposite direction of the main trend, most likely it will be evidence of the continuation of an existing trend. In most cases, the pattern breaks in the opposite direction, but this rule is not an axiom, the exclusion of the sometimes happen.
The wedge at the minimum or maximum dominant trends can be, as well as the triangle, having each line in two upper and lower peaks. The optimal time to enter the market penetration is the time of one of the lines of the figure, will be very successful transaction, open at the time of the breakdown in the opposite direction of the summit.
For transactions are descending pattern with the pending order buy stop, and for the uplink using a sell stop. When using time intervals is a good chance the deal, open at the beginning of the period in the direction of the breakdown. The best, however, seldom meeting variant - the deal at the time of return to the broken line.
Even with the luck of "theoretical" circumstances neglect installation of safety orders are extremely risky. Hundred-losses are best placed slightly above (below) the previous high (or low), a graphical model. As for the take-profit, it is better to place on the initial formation of the pattern.