📍 Entry / Buy Zone
Above Resistance
Enter on a candle close above the flat resistance line, not just a wick breach. Wait for confirmation.
🛑 Stop Loss
Below Last Higher Low
Place stop just below the most recent rising support touch — the last low before the breakout.
🎯 Price Target
Breakout + Pattern Height
Measure the height (H) of the triangle at its widest point. Project that distance upward from the breakout level.
⚖️ Risk / Reward
Aim for ≥ 2:1
Only take the trade if your target is at least 2× your risk (distance to stop loss). Skip weak setups.
Trading Rules — Ascending Triangle
01Flat top, rising bottom. A valid ascending triangle has a horizontal resistance line tested 2–3+ times and a rising support line making higher lows.
02Volume matters. Look for volume to decrease during consolidation, then surge on the breakout candle — that confirms real buying pressure.
03Wait for the close. Do not buy on a wick spike above resistance. The candle must close above it to confirm the breakout.
04Retest opportunity. Price often pulls back to retest the broken resistance as new support. This is a second, lower-risk entry with a tighter stop.
05False breakouts happen. If price closes back below resistance after breaking out, exit — the pattern has failed.
For educational purposes only. Not financial advice. Always manage risk with position sizing and never risk more than you can afford to lose.