# Ascending Triangle

An ascending triangle typically signals the continuation of an uptrend, suggesting the possibility of a strong bullish breakout in the market ahead. Here are the key points for identifying and trading this pattern:

**Identifying the Pattern**
Look for a horizontal resistance line at the top and an ascending trendline connecting progressively higher lows. This indicates that buyers are gradually building strength and attempting to break through the resistance level.

**Waiting for the Breakout**
Patience is key. Wait for the candlestick close above the resistance line, which is a signal confirming that momentum has shifted upward.

**Setting Targets**
Measure the height of the triangle and project the same height upward from the breakout point. This will give you a realistic profit-taking target level.

**Paying Attention to Retracements**
Sometimes price will retrace to test the former resistance level, which has now become a support level. If the retracement confirms successful support, it will provide a second entry opportunity.