So armed one can not only predict that change is imminent but the direction of that change. The four different formations of horizontal triangles are illustrated. It is readily recognizable that if the main trend is correctly identified and the triangle formations correctly placed in the pattern of price movements, then the triangle resolves by continuation of the main trend. The horizontal triangle is a protracted wave of sideways price movement reflecting a conflict between buyers and sellers and is associated with overall and progressive reduction of volume. On resolution of the conflict the main trend is resumed with a sudden energy and greatly increased volume.
Prices usually move at least the distance of the widest part of the triangle, i.e. the base.