Wedge
Rising or falling wedge. Often a reversal signal.
Neutral
Difficulty: ●●●○○
Reliability: 6/10
- Rising wedge: 2 rising converging lines → often bearish (exhaustion)
- Falling wedge: 2 falling converging lines → often bullish
Don't confuse with ascending/descending triangle (which has one horizontal line).
When to look
At trend extension, wedge acts as counter-intuitive exhaustion.
Confirmation
Breakout opposite to wedge slope.