Triangle Failures. When the triangles fail to break the resistance trend line and actually break through the support trend line, it is considered a failed triangle pattern. Failed patterns can result in strong trend reversals. Traders should be prudent with stop-losses when a triangle pattern fails. Seasoned traders will look to reverse their positions or enter the trend reversal when this occurs to capitalize on the potential panic reaction from the trapped participants that expected the triangle to form.
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Triangle Failures. When the triangles fail to break the...
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