Chart pattern
Rising Wedge explained
A rising wedge has two upward-sloping lines that converge, with the lower line steeper. Price keeps rising but the range narrows, which can signal weakening momentum and often resolves downward, but not always.
How to spot it
- Find two rising trendlines, one through the highs and one through the lows.
- Check that the lines converge, with the lower line rising faster.
- Watch for diminishing momentum or volume as the wedge tightens.
- Look for a close below the lower trendline.
What invalidates it
The pattern is invalidated if price closes above the upper trendline with momentum, or if a break below fails and price returns inside.
Common mistakes
- Calling any rising channel a wedge
- Using the wedge as a short signal without confirmation
- Drawing lines through only two touches
- Ignoring that the pattern in an uptrend can also resolve upward
Questions
- Is a rising wedge bearish?
- It leans bearish, because the narrowing range shows buyers losing momentum. But it can break upward, so wait for the close.
- What is the difference with an ascending triangle?
- An ascending triangle has a flat top. A rising wedge has both lines sloping upward.
- How many touches do I need?
- At least two on each line, and more are better for a clear structure.
Related patterns
See how patterns are applied to a specific instrument in the market guides.
Educational content, not financial advice. Chart patterns describe what price has done and do not predict what it will do next.
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