The Ascending Triangle is a chart pattern used by analysts. You know those heart beat monitor lines you see on commercials for heart attack meds sometimes, where the line jumps up with every beat? This chart does that with stock prices. When a bull market pushes a stock price up at least four times followed by decreases, the chart shows lines moving up and down, like a triangle. The name comes simply from the what the chart measures, and what it looks like. Simple enough, right?
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Finance: What are Ascending and Descendi...2 Views
Finance a la shmoop what are asending and descending tops and triangles well
it's almost like a stock breakout to the good is being squeezed out the end right [Ascending triangle stock prices on a graph]
here... well in this pattern it's like the stock can't help but go up at
the end of the triangles here well ascending tops and triangles is a trading
pattern used by Chartist style traders ie traders who just focus on the graphic
representation of stock performance, well the same holds true for descending tops
and triangles basically take everything we said here and invert it..Oh head rush [Triangle inverted on graph]
there flip that back over - Note the pattern here of ups and downs but as
time progresses the blue line at the bottom acts as if it's a lower limit [Arrow points to blue lower limit line]
where the stock can't bounce through that virtual floor it just goes up and
then one day like as zit that's bursting at the seams well the stock pops and
creates a new set of ascending tops and triangles hopefully it doesn't leave a
pock mark on your portfolio well when it does that [Man holding up portfolio]
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