The Descending Triangle Forex Swing Trading Strategy

This swing trading strategy is one of the triangle pattern formation and it is quite easy to identify:

First is the market has to be in a downtrend. The price will have a slight consolidation when it hits the support line. It then moves up and touches the falling trendline which is the resistance area. The price will squeeze until it breaks the support.

Trading Rules:

1. The candle must break and close below the support line.
2. Place a sell stop order 3-5 pips below the low of the breakout candle.
3. Place stop loss right above the downward resistance line or place it around 5-30 pips above the high of that breakout candlestick.
4. Take profit 3 times what you risk or calculate the height of the pattern and use it to take profit target price level. (In the image, it uses the height of the pattern.)

Open an NZDUSD daily chart

Recommended MT4 Broker

XM Broker

• Free $50 To Start Trading Instantly! (Withdraw-able Profit)
• Deposit Bonus up to $5,000
• Unlimited Loyalty Program
• Award Winning Forex Broker
• Additional Exclusive Bonuses Throughout The Year
• Exclusive 50% Cash Rebates for all Trades!

>> Sign Up for XM Broker Account here with Exclusive 50% Cash Rebates For All Future Trades [Use This Special Invitation Link]  <<

Already an XM client but missing out on cashback? Open New Real Account and Enter this Partner Code: 𝟕𝐖𝟑𝐉𝐐

Click here below to download:

Save

Save

Get Download Access