2024-02-26 by Lucas

The triangle pattern is frequently cited as one of the most reliable chart patterns. Initiate a long position upon an upward breakout and a short position upon a downward breakout.

Here's a method for real-time scanning of triangle patterns for day trading:

1. Visit the WeWave studio page at

https://wewave.app/app/studio 2. Sketch a pattern that progressively narrows. 3. Opt for a time range of 2 hours with a 1-minute interval. 4. Enable 1-minute auto-refresh to ensure continuous updates. 5. Arrange results by volume to prioritize high liquidity.

Let's examine the process of trading the triangle pattern.

Traders often use the symmetrical triangle pattern to anticipate potential breakouts or breakdowns. Here are some key points to consider when trading this pattern:

1. Confirmation: Wait for a confirmed breakout or breakdown before entering a trade. A breakout occurs when the price breaks above the upper trendline, while a breakdown happens when the price drops below the lower trendline.
2. Volume: The breakout or breakdown should be accompanied by increased trading volume, indicating strong market participation.
3. Price Target: Measure the height of the triangle pattern from the breakout point and project it upward for a bullish breakout or downward for a bearish breakout. This provides an initial price target for the trade.
4. Stop Loss: To limit potential losses, place a stop-loss order below the breakout point for a bullish breakout or above the breakdown point for a bearish breakout.

Referencing: https://www.5paisa.com/finschool/symmetrical-triangle-pattern/

Here are practical examples for today, February 26, 2024 (Monday).

During the final two hours of the market at 2pm PST, the WeWave scanning of triangle patterns on the 1-minute chart identifies stocks such as $NIO, $LI, $AAPL, and others.