What the patterns look like
Made-up prices. Shape example only, not a detected signal.
Read left to right. The line charts join selected turning points; they leave out the full candle history and volume.
Ascending channel
- Example price
- Lower edge: support
- Upper edge: resistance
- Both edges rise at the same rate. The gap between them stays at 8 price units.
- The last point tests the lower edge. A rising channel can also fail through a held break below it.
- Final lower edge
- 110
- Final upper edge
- 118
- Channel width
- 8
Made-up prices. Shape example only, not a detected signal.
Descending channel
- Example price
- Lower edge: support
- Upper edge: resistance
- Both edges fall at the same rate. Several separate tests help define each edge.
- The last point tests the upper edge. A held break above it is different from a rejection at it.
- Final lower edge
- 82
- Final upper edge
- 90
- Channel width
- 8
Made-up prices. Shape example only, not a detected signal.
Check both edges of the channel
Ascending means rising. Descending means falling. A channel has an upper and lower boundary that run in parallel. They rise or fall at the same rate, with a stable gap between them.
In the ascending example, the lower edge rises from 100 to 110 and the upper edge rises from 108 to 118. The gap is 8 throughout. The descending example reverses the slope. The channel edges are not price targets.
A channel needs more than a trendline
One good rising support line does not prove an ascending channel. Both edges need repeated separate tests and clear reactions. Stronger evidence includes stable spacing between the edges and price staying inside them before a break.
One wide candle does not establish a channel. Look for separate price reactions along both edges. The full candle history gives more evidence than the simplified turning points drawn here.
Read the latest interaction, not just the slope
The ascending picture ends at a support test. The descending picture ends at a resistance test. The site can also show a fresh, held break. A rising channel can break downward; a falling channel can break upward.
A break is a later move beyond an established edge. A return inside the channel removes a break signal. If the boundaries no longer fit, do not move them simply to preserve the old pattern.
How PatternLedger reads the pattern
These explanations are shared with the Pattern Reference. Strict means that more checks pass. It is not a promise of profit.
Ascending channel
- Look for
- Rising parallel boundaries; a support test or fresh held break.
- Strict needs
- Repeated tests and clear reactions at both edges. Price stays within the channel before a break.
- What makes it invalid
- Broken geometry or re-entry after a break.
Descending channel
- Look for
- Falling parallel boundaries; a resistance test or fresh held break.
- Strict needs
- Repeated tests and clear reactions at both edges. Price stays within the channel before a break.
- What makes it invalid
- Broken geometry or re-entry after a break.
Check the real signal
- Use the displayed signal date and the right Daily or Weekly chart.
- Read the current direction, Strict or Loose label, and what makes the signal invalid.
- Compare matching backtest evidence. A diagram, score, or past result does not guarantee a future return.