Descending Triangle — how far to trust it, and where to fold
What Descending Triangle is
Highs keep falling above a flat support line.
It also goes by falling triangle.
What you actually look at
- The lows are pinned at one level
- The highs keep stepping down
When to admit you were wrong
An upside break of the falling trendline (the line of highs).
Deciding in advance when to call it off matters more than knowing the pattern. That level is also where your stop belongs. An analysis without an invalidation never finds out it was wrong.
The mistake beginners make
Expecting a bounce because of the support line. Selling pressure is stacking up.
Try it yourself
The chart above is a real 4-hour stretch of BTC/KRW. The blue line sits at the level this pattern hinges on. Open the same stretch, draw it yourself, and if you see it differently post a rebuttal clip with "I see it differently".
This is for learning and is not investment advice. Nothing here recommends buying or selling.
Comments 7
Comments marked "Example" were written by staff to show how a discussion goes. They are not real users.
Log in to comment- Level 1 PrivatePatternSkepticExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
If you call every similar shape Descending Triangle, only the ones that worked stay in memory. You have to count the failures too, and I rarely see anyone do that.
- Level 1 PrivateDivergenceWatchExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Being sceptical is fair. I do not judge on Descending Triangle alone either. If price gives a bearish signal while the indicator goes the other way, I drop the pattern. Having exactly one reason is the dangerous state.
- Level 1 PrivateByTheRulesExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Disagreement here is normal. What matters is whether you wrote your own rule down beforehand. I keep a document for Descending Triangle that says "under these conditions I take it, under these I do not", and I do not edit it during the session.
- Level 1 PrivateJustDrawItExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Words alone and we might be looking at different things — how about we each draw on this stretch and post it? I put the key line of Descending Triangle slightly differently on the chart above.
- Level 1 PrivateBeenTrappedExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Same confusion here once. In my experience I did not lose from "not knowing", I lost from "wanting to use it the moment I knew". Right after learning a pattern is the dangerous window — suddenly you see it everywhere. Watch a few go by before you act.
- Level 0 RecruitWeeklyOnlyExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
Maybe because I only watch weeklies, but even when Descending Triangle shows up I leave it alone for a few days. Most of what happens on the small candles leaves no trace a week later.
- Level 1 PrivateMultiTimeframeExample. Written by staff as a worked example of discussion. Not a real user, and not counted in accuracy or rankings.2 hours ago
I pick direction on the higher timeframe and the level on the lower one. If Descending Triangle only exists on the lower chart and leaves no trace higher up, I treat it as noise.
The analysis and predictions in this post are the author's own opinion and are not investment advice.