Continuation Patterns · Bearish
Descending Triangle
Flat lows with falling highs.
Buyers defend one price while sellers cap each rally lower. The bearish example is a close through the flat low.
This is an example of how traders often plan the pattern. It is not a promise that price will reach the target.
Identification
- Lows line up horizontally.
- Highs step down toward that line.
- The example trigger is a close below the flat lows.
Market context
Support can hold and the pattern can fail upward. The close through the floor is the bearish example.
Entry example
An example entry is the close below the flat support.
Stop-loss example
An example stop is above the last lower high.
Target example
A common teaching method subtracts the triangle height from the break.
Common mistakes
- Shorting the falling highs while support is still intact.
Candlestick and chart patterns are probabilistic observations, not guaranteed trading signals. This page does not report a win rate.