Descending Triangle – What is a Descending Triangle in forex?

What is a Descending Triangle?

Definition of Descending Triangle:
It is one among the several patterns, similar to the Forex traders. It suggests that a fall in pricing is quite imminent. They are regarded as the opposite of the Ascending Triangles. This form of formation generally takes place when the support floor creates lower highs under the slope. However, repeating the lower highs indicates that selling force is the first step of building. It is clearly indicated in the chart that the sellers are beginning to gain strength as they are resulting in lower highs. Force on those specific support levels can result in a breakdown. An intelligent Forex trader makes preparations beforehand when he finds the occurrence of the similar condition. He may place an entry order over and below the resistance line. The main tendency is to make a downward move. Following a currency option plan is the other way to move ahead. In either of the cases, the Forex traders can enjoy profit from planning and executing the plans in an efficient manner.