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Descending Triangle Pattern on Daily Chart of WTI Crude Oil as of 2020-03-29

Summary:
Prices for crude oil were in a sharp downtrend lately, and traders were wondering whether they will continue moving lower or maybe the commodity has found a bottom. The descending triangle pattern that has formed on the daily chart of WTI crude suggests that the downward movement will continue. Such pattern forms when highs on a chart are lower while lows are relatively flat. Being a continuation chart pattern, it suggests that the downward trend will remain in place or become even stronger. On the present chart, the yellow lines show the descending triangle itself. The cyan line is drawn 10% of the triangle’s height below the lower border of the triangle and offers an entry point for traders willing to place bearish bets in case of a downward breakout. The green line is drawn

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Prices for crude oil were in a sharp downtrend lately, and traders were wondering whether they will continue moving lower or maybe the commodity has found a bottom. The descending triangle pattern that has formed on the daily chart of WTI crude suggests that the downward movement will continue. Such pattern forms when highs on a chart are lower while lows are relatively flat. Being a continuation chart pattern, it suggests that the downward trend will remain in place or become even stronger.

On the present chart, the yellow lines show the descending triangle itself. The cyan line is drawn 10% of the triangle’s height below the lower border of the triangle and offers an entry point for traders willing to place bearish bets in case of a downward breakout. The green line is drawn at the triangle’s height below the pattern and offers a profit-taking objective.

You can click on the image to see a full-size version:

Descending Triangle Pattern on Daily Chart of WTI Crude Oil as of 2020-03-29

The chart was built using the ChannelPattern script. You can download a MetaTrader 4 chart template for this WTI crude oil pattern. You can also trade it using the free Chart Pattern Helper EA.

If you have any questions or comments regarding this descending triangle pattern on the chart of WTI crude oil, please feel free to submit them via the form below.


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Vladimir Vyun
Vladimir is an online journalist with background in computer science and work experience in pension funds. He contributes news reports, fundamental analysis and sentiment forecasts to TopForexNews.com and CommodityBlog.com. His main specialization is the currencies of emerging economies and inter-market correlations with commodity and bond trading.

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