Rising Wedge / 上昇ウェッジ
Reference values based on Bulkowski's "Encyclopedia of Chart Patterns". Data is primarily from U.S. markets and may differ for other markets.
A pattern where both highs and lows rise, but the lower trendline rises more steeply, causing the two trendlines to converge upward. At the top of an uptrend, it functions as a reversal pattern; during a rally within a downtrend, it functions as a continuation pattern. In both cases, a downward breakout is expected.
Enter short when price clearly breaks below the lower trendline (support) on a closing basis. A more reliable approach is to wait for a retest after the breakout.
Project the widest part of the wedge downward from the breakout point. Or target the price at the wedge formation's starting point.
Place a stop-loss slightly above the most recent high within the wedge.
Volume typically decreases gradually during formation. A volume increase at the downward breakout enhances reliability, though downward breakouts can be valid even with low volume.