Trading triangles is a fantastic concept, but they don't always work out. Traders typically make the mistake of entering the market before the triangle has been broken.

As shown in the preceding screenshots of the triangle and momentum analysis, the breakout in the other direction was most likely caused by the top forming faster and the price returning to the lower trendline.

But that didn’t happen, and the price broke out of the triangle.
This shows that triangles aren’t always the “holy grail,” and that they can fail. Even if the trend line is broken, the triangle’s true signal will not appear for a long time.

A trendline breakout is also acceptable only if the candle closes outside the triangle and remains there.

Waiting for a full candle to form outside the triangle will miss out on some action, but it will prevent you from losing money on false breakouts.