RESOURCES/PATTERNS/TOP RIGHT TRIANGLE
▼ BEARISHREVERSALDAILY · 60 MINS

Top Right Triangle

Price keeps bouncing off a flat floor, each rally weaker than the last. When it finally closes below that floor, a new downtrend can begin.

SELL SIGNAL
Close below the horizontal line after at least 2 bounces
BUY STOP
Just above the most recent bounce high before the break
BOUNCES
2 minimum, 3 ideal, each high lower than the last
CONFIRMATION
A controlled retest of the line after the break
● PATTERN ANATOMY · MODEL
123123SELLSTOP3R ↓1R
01 · ANATOMY

Three lines make the triangle

The Bottom Right Triangle, upside down. Hover a card to light it up on the chart.

1The horizontal

A flat line joining two or more almost equal lows. It acts as support: each drop stops at the same price.

THE FLOOR

2The vertical

A line from the horizontal up to the highest point above it. It marks where the pattern starts.

THE STARTING POINT

3The hypotenuse

The falling line that joins the descending highs. Each bounce off the floor peaks lower than the one before.

THE FALLING CEILING
02 · FORMATION

Two rules decide if it counts

Our scanners only flag the pattern when both are met.

Descending bounces

At least two, ideally three, bounces above the horizontal, each one peaking at a lower high.

2minimum3ideal

Slow up, fast down

Rallies from the floor to each high (B1, B2, B3) should take longer than the drops back down to it.

▲ slow▼ fast
03 · SIGNAL & RISK

From the signal to the trade plan

Every Yard Charts alert draws these levels for you, so you know the entry and where the setup fails before you act.

STEP 1 SELL

Close below the horizontal

A sell signal fires when a candle closes below the horizontal line after at least two bounces.

STEP 2 STOP

Stop above the last bounce high

Set the buy stop just above the most recent bounce high before the breakdown. If price climbs back there, the pattern has failed.

STEP 3 CONFIRM

Wait for a controlled retest

The strongest setups break down, then rise calmly back to the old floor and fail there before moving lower.

Reading the risk/reward. The distance from sell to stop is your risk. Our alerts project a reward zone at three times that risk, below the entry.
04 · WHY IT WORKS

Buyers stay put. Sellers keep pushing lower.

A fixed demandBuyers wait at the same price, so every drop stops at the floor.
Rising supplySellers step in at lower prices each time, pressing every high down.
Lopsided paceSlow rallies and quick drops show sellers are the more eager side.
Demand absorbedWhen the buyers at the floor run out, price closes below it.
05 · IN THE WILD

Real alerts from our scanners

Two Top Right Triangles flagged on the daily scan of 2026-10-06.

XBISPDR S&P Biotech ETF · Financial Products
DAILY ALERT · 2026-10-06
145150155160165170JUNAUGSEPOCT152.63159.973R ↓
SELL
152.63
BUY STOP
159.97
RISK
4.8%
3R ZONE
130.61
Breakdown close below the 152.63 lineOpen the alert chart
Where these come from

XBI is a US ETF, so this alert is in the Free plan. CACI is a NYSE stock, which comes with Standard.

Compare plans
Historical performance

Historical cases show meaningful downside when confirmation and risk management are respected: wait for the close, keep the stop where the pattern fails.

Its bullish twin: Bottom Right Triangle

The same shape the right way up. Ascending bounces under a flat ceiling, then a close above it triggers the buy.

Read the pattern
READ ALSO

The other seven patterns

Let the scanners find the next triangle.

Every alert comes with the sell, the stop and the reward zone. Free forever on 4 markets.