Symmetrical Triangle Pattern
Symmetrical Triangle Pattern:
A symmetrical triangle is a technical chart pattern characterized by converging trendlines. This pattern often indicates a period of consolidation, followed by a breakout.
Bullish Breakout : If the price breaks above the upper trendline, it is typically seen as a bullish breakout , suggesting that the price could move higher.
Bearish Breakout : Conversely, a price movement below the lower trendline is considered a bearish breakout , signaling a potential downward trend.
In the chart, the price is nearing the apex of the triangle. If the price breaks above the upper trendline, the target price could be approximately $71.03 , based on the pattern's projected breakout level.
Target Calculation:
The price target for a breakout is generally calculated by measuring the height of the triangle at its widest point. This value is then added (in the case of a bullish breakout ) or subtracted (for a bearish breakout ) from the breakout point.
In this case, the $71.03 target suggests that, based on the symmetrical triangle's height, the price could potentially reach this level if the breakout is to the upside.
