The two converging lines will further confine the price action until there is a bearish breakdown or bullish breakout. The rising wedge pattern is the former, which is typically associated with downtrends and bearish results. The wedge is a triangle-like pattern where a resistance and support line rise or fall to converge into the shape of a wedge. What Is A Rising Wedge Pattern And How Does It Work? We’ll also provide tips on how to prepare for the rare event where a rising wedge has a bullish breakout. This guide will provide examples of a rising wedge in an uptrend and a rising wedge in a downtrend, along with how to trade them. Still, no chart pattern is reliable all the time. Certain characteristics that fit the profile of a bearish rising wedge pattern can help traders and analysts validate the pattern and increase the probability of success. The rising wedge chart pattern is a bearish pattern, but does occasionally break up to keep traders on their toes and guessing. Few trading patterns are as easy to identify and trade as the rising wedge pattern. Technical analysis patterns come in various shapes and sizes, with some being more bullish or bearish, while others are neutral.
