Ascending triangle

The rising lows show demand getting more eager. The flat top shows supply at one price. When that supply runs out, price can move quickly through the level.

• At least four swings: two highs and two lows. Every swing touches its line within a third of an ATR and every close in between stays inside.
• The upper line moves less than 0.6 ATR across the pattern (flat). The lower line rises by at least 0.6 ATR.
• The scanner arms both breaks. A break down is reported too and labelled "against the textbook".

How the alerts work for this pattern

1. 1
   Forming

   Four swings fit the two lines. The scanner draws them and watches both sides.

2. 2
   Complete

   A fifth swing still fits. The lines are updated as more swings arrive.

3. 3
   Close to signaling

   A close comes within a third of an ATR of either line.

4. 4
   Time to act

   A candle closes beyond a line.

5. x
   Cancelled

   The lines meet (the apex) or one more pattern length passes without a break.

The textbook trade

Trigger

A close beyond either line.

Stop

Beyond the last swing on the other side.

Target

The height of the triangle at its start, projected from the break.

Things to watch

• Breaks that happen very close to the apex tend to have less room to run. The scanner cancels the setup when the lines meet.
• The label tells you whether the break went the textbook way. In real markets a good share of triangles break the other way, which is why both sides are watched.