Chart pattern · Continuation · Neutral
What is it, in one line
Converging trendlines, one falling and one rising, with no directional bias until the break.
Neutral · Continuation · verdict: Traditional claim, not yet measured here
Converging trendlines, one falling and one rising, with no directional bias until the break.
Method
Conventional target: A break in either direction projects a move equal to the triangle’s height at its widest point.
Invalidated by: A close back inside the triangle after a break invalidates that break.
The two most recent confirmed swing highs are falling and the two most recent swing lows are rising, each by at least minSepAtr, so the range is narrowing from both sides.
The traditional claim
Read as a continuation of the prior trend, direction taken from the breakout rather than the shape.
How this detection is wrong
Direction is NOT implied by this shape, which is why it is filed neutral. A study that assigns it one is measuring the prior trend, not the formation.
Published so the count can be reproduced. Every figure below is a parameter of the rule, not a preference: change one and the occurrence count changes with it.
| Parameter | Meaning | Default |
|---|---|---|
| pivotLeft | bars to the left of a swing | 3 |
| pivotRight | bars to the right before a swing is confirmed | 3 |
| lookback | bars searched for the swings | 120 |
| atrPeriod | bars of ATR used to size everything below | 14 |
| flatTol | how level two points must be | 0.02 |
| minSepAtr | separation required between swings, in ATR | 1 |
These share enough geometry that a detector can return more than one of them on the same bar. The engine reports every match rather than picking a winner.
Every pair on the site that can be mistaken for another, and what separates each: the look-alikes index.
The two most recent confirmed swing highs are falling and the two most recent swing lows are rising, each by at least minSepAtr, so the range is narrowing from both sides.
It is read as neutral. Read as a continuation of the prior trend, direction taken from the breakout rather than the shape.
Direction is NOT implied by this shape, which is why it is filed neutral. A study that assigns it one is measuring the prior trend, not the formation.
As an executable rule over open, high, low and close, with 6 named parameters — including bars to the left of a swing 3, bars to the right before a swing is confirmed 3, bars searched for the swings 120 — all published on this page so the count can be reproduced. Strict and loose variants are defined as well, so the sensitivity of the count to those thresholds is visible rather than assumed.
Measurement pending re-run
No hit rate is published here yet. The run that would supply one was computed on engine ca6d9e36c81c; the engine is now cfb08765de7c. Its candlestick rows included the still-forming bar, and it predates the chart formations entirely, so those figures have been withdrawn rather than published with a caveat. The definition above is unaffected: it is what the detector tests, and no re-run changes it.