Page 115 - A Complete Guide to Volume Price Analysis: Read the book then read the market

Fig 11.14 Rising triangle – Daily Chart

Fig 11.14 is from the daily chart of the EUR/USD, and as we can see the rising triangle is a bullish pattern. In this example the market is moving
higher and testing the same ceiling level, with the low of each candle slowly rising, signalling a market that is bullish. After all, if the market were
bearish, then we would see the lows of each candle falling. Instead the lows are rising, suggesting positive sentiment in the market, and as we
approach the ceiling (or resistance), then we are prepared for the subsequent breakout, which is confirmed with volume. Once clear of resistance,
the ceiling becomes support, and gives us a natural price barrier for positioning stop losses as we take a trade.

The third pattern in this series is the pennant, so called as it resembles a pennant flag on a mast.

Fig 11.15 Pennant pattern – Monthly Chart