Context: Found within a downtrend, the falling wedge is often a reversal pattern. When found within the context of an uptrend, the falling wedge is similar to abull pennantand is a continuation pattern. The example shown on this page is a falling wedge reversal pattern found at the end of...
A wedge pattern can signal either bullish or bearish pricereversals. In either case, this pattern holds three common characteristics: first, the converging trend lines; second, a pattern of declining volume as the price progresses through the pattern; third, a breakout from one of the trend line...
A wedge pattern is a type of chart pattern that is formed by converging two trend lines. Wedges are the type of continuation as well as the reversal chart patterns. Wedges can be Rising Wedges or Falling wedges depending upon the trend in which they are formed. Rising Wedges form after an...