Falling Wedge Pattern: How does it work?Get an understanding of the Falling Wedge Pattern. A falling wedge is a bullish pattern characterized by a wide top and shrinking bottom. The pattern will lead to a downward price slide. The falling wedge chart pattern occurs when a trend's final downward move. Price chart trend lines are drawn above highs and below lows. Thus, price slide losses will be converged. Buyers will step slowly down the market before the line comes together. Converging trend lines on a price chart indicate a price breakout above the upper trend line. The lines will show rising or falling highs and lows. The lines will appear wedge-shaped as they approach a convergence due to their differing rates. Technical analysts can use them to gauge potential reversals in price movement. A wedge pattern appears as a trend when the price of a security falls over some time.
WC8 Price at posting:
48.5¢ Sentiment: Buy Disclosure: Held
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