In technical analysis, not every chart pattern tells you a clear bullish or bearish direction. Some patterns are bilateral, meaning they can break either way depending on market momentum. These patterns show strong consolidation and usually precede a big breakout.
Let’s break down the three most common bilateral patterns:
1. Ascending Triangle
Structure: Price forms higher lows while facing a flat resistance line at the top.
Meaning: Buyers are getting stronger with every dip, but sellers are defending one key level.
Breakout:
If resistance breaks with volume → strong bullish continuation.
If rejection happens → sharp reversal toward lower support.
2. Descending Triangle
Structure: Price makes lower highs while support holds steady at the bottom.
Meaning: Sellers are pushing harder, but buyers keep protecting one level.
Breakout:
If support breaks → strong bearish continuation.
If buyers defend and breakout upwards → a surprise bullish reversal.
3. Symmetrical Triangle
Structure: Price gets squeezed into a tighter range with lower highs and higher lows.
Meaning: Market indecision — neither bulls nor bears in full control.
Breakout:
Can go in either direction depending on who wins the momentum.
Usually, a high-volume breakout decides the trend.
Bilateral chart patterns remind us: direction is not guaranteed. What matters is waiting for confirmation. Smart traders don’t predict blindly — they set entries on both sides and let the market choose.
📌 Always watch for:
Volume on breakout.
Retest of broken support/resistance.
Clear targets based on the triangle’s heigh.