Descending Triangle Pattern
Original schematic showing the guide's principal visual relationships.
Pattern anatomy
Flat support combined with falling highs, showing sellers accepting progressively lower prices.
Falling upper boundary + horizontal lower boundary; confirmation is a close below support.
How it works
Identify the prior trend first, mark repeated swing highs and lows, then draw only the support, resistance, or neckline justified by those pivots. A pattern remains provisional until price closes beyond its confirmation boundary; visual resemblance alone is not enough.
How to read it
Lower highs compress price against a fixed demand area. A support break suggests supply has overwhelmed repeated defenses.
Confirmation checklist
Confirm a clear impulse before the consolidation, controlled price compression during formation, and a close beyond the continuation boundary. Volume often contracts during the pause and expands on breakout.
Limitations and false signals
Repeated support tests may also attract buyers and produce an upside reversal. Do not anticipate the break before it occurs.