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Descending Continuation Triangle

Trading Term

A Descending Continuation Triangle features two converging trendlines. The bottom trendline is horizontal and the top trendline slopes downward. The pattern illustrates lows occurring at a constant price level, with highs moving constantly lower. The pattern displays two highs touching the upper trendline and two lows touching the lower trendline. This pattern is confirmed when the price breaks out of the triangle formation to close below the lower trendline.

Trading Central chart example of Descending Continuation Triangle pattern.

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