A Symmetrical Triangle has lower highs and higher lows converging to a point. It is a neutral consolidation — trade the direction of the breakout, which most often follows the prior trend.
How traders trade it
- Wait for a decisive break of either trendline.
- It usually resolves in the direction of the prior trend.
- Project the widest part of the triangle from the break.
See it in dtcharts
Scan for the symmetrical triangle across markets in the dtcharts terminal — or draw it by hand with the charting tools.