Continuation pattern · bearish bias
Descending Triangle pattern
A descending triangle has a flat lower boundary and a falling upper trendline. Sellers keep pressing at lower prices while buyers defend the same floor, until the floor gives way or the falling highs are broken.
How to identify a descending triangle
- At least two lows at roughly the same level forming horizontal support.
- At least two lower highs joined by a falling trendline.
- The range narrowing as the lines converge.
What confirms it
A close below the flat support. A failed retest of that level from below is a second confirmation.
What invalidates it
A close above the falling trendline breaks the pattern of lower highs.
How traders project a target
Take the triangle's height at its widest point and subtract it from the breakdown level.
Common mistakes
- Assuming every descending triangle breaks down.
- Selling into support before any break.
- Ignoring a strong uptrend on the higher timeframe.
Where it appears
Common as a pause within a downtrend. When it forms after a long advance it can mark distribution.
Frequently asked questions
Is a descending triangle bearish?
Its bias is bearish because sellers are making lower highs, but it only confirms on a close below support.
Can a descending triangle break upward?
Yes. A close above the falling trendline invalidates the bearish view and sometimes leads to a sharp move higher.
Where do traders look for invalidation after a breakdown?
Commonly above the most recent lower high inside the triangle, or back above the broken support.
Related chart patterns
Educational content only, not financial advice. Chart patterns describe probabilities, not certainties, and every pattern can fail. See our disclaimer.
