Falling Wedge Pattern : ABCAPITAL

The falling wedge pattern is bullish in nature and appears after a bearish trend . The pattern indicates that the bulls have lost their momentum, and bears have taken over the price temporarily. As such, the price hits lower lows but at a corrective speed.

The advantages of the falling wedge pattern are:

It is a frequent occurrence in financial markets.
This pattern works as both a trend reversal and trend continuation pattern.
It is easy to find stop-loss and take-profit levels.
It offers a good risk-to-reward ratio.
The disadvantages of the falling-wedge pattern are:

While using this pattern to initiate a trade, additional confirmation is required when opening a trade.
In lower time frames, falling wedge patterns have lower accuracy.
New traders may face confusion in distinguishing between the falling wedge and other price patterns.

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