Descending Triangle Pattern

Pattern anatomy

Flat support combined with falling highs, showing sellers accepting progressively lower prices.

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.

Practical example

Repeated lows hold horizontal support while each rebound makes a lower high. A close below support confirms the usual bearish outcome; an upside break shows that buyers absorbed the repeated tests and invalidates the bearish bias.

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.

Frequently asked questions