Ascending Triangle
A coiling pattern with a flat upper resistance line and rising lower trendline, typically resolving in a bullish breakout.
An Ascending Triangle has a horizontal resistance line at the top (price repeatedly fails at the same level) and an upward-sloping support line at the bottom (higher lows). Price is being compressed into the apex.
The bullish bias comes from the higher lows — buyers are becoming more aggressive. A close above the flat resistance confirms the breakout. Target = pattern height (resistance minus first low of the pattern) projected from the breakout point.
- Volume typically contracts during the coil and expands on the breakout.
- Downside breakouts from ascending triangles are traps — they often reverse sharply back up.
On the desk
Gold consolidates between flat resistance at $2,000 and a rising trendline from $1,940 to $1,970 over 6 weeks. A weekly close above $2,000 triggers a ~$60 target, projecting to $2,060.