The Ascending Triangle
- It resembles accumulation.
- It is a bullish pattern.
- It doesn’t have to happen on an uptrend, but it is very helpful when it does.
- The top of the triangle is fairly straight and the bottom of the triangle is ascending. The stock ascends and descends between these two lines of the triangle.
- As the stock inclines, the volume declines because accumulation is taking place.
- You want the volume to increase when it breaks, but the volume won’t always increase on the breakout.
- Time-frame: a few weeks to a few months. The time-frame is less relevant than with the Cup and Handle Pattern.