Chart #1 EUR/USD Weekly – Reversal symmetrical triangle Pipruit: Commander, but it looks like highs descending is a bit faster than lows ascending… Are you sure that this triangle is symmetrical? Commander in Pips: Mostly yes. Although your question is reasonable and sometimes triangles have perfect symmetry, still, the most patterns have some skew, but this skew does not cancel the property of triangles. Pipruit: Could you please be so kind to explain to me the market mechanics. I suspect that although triangles looks very similar to wedges – the market mechanic are still different. Am I right? Commander in Pips: Yes, that correct. If we will take an attentive look to both of these pattern, we’ll see that the Wedge has some direction – up or down, but a symmetrical triangle does not. And a wedge’s direction is based on different speed of highs and lows and simultaneously direction of highs and lows is the same. But there is absolutely vice versa with triangles – highs and lows tend toward each other and form the apex of a triangle, and the triangle does not have a direction – it’s flat. All these nuances tell us that triangles are not the pattern of exhaustion of a previous move, but the pattern of just consolidation, when the market falls into indecision. Volatility also reduces during triangles – because the range between the highs and lows becomes tighter – this is a situation of dampening in market vibrations. Investors try to look at the market with fresh view and assess – is it proper direction, and has something changed or not? And as we know, after a calm period we should wait for an explosion. The market is building energy inside the triangle – as buyers and sellers couldn’t take domination inside the triangle. But when most participants become sure with some direction – then the market shows breakout and the move after it could be significant. Pipruit: I see, and what we should look for, when a triangle is still forming, how we could foresee the direction of breakout?