Forex trading involves a variety of chart patterns. To use them effectively in trades, traders need to be aware of them. Price action may contract and form a tighter and narrower price range in trading. This is known as a wedge. Furthermore, a wedge represents a market consolidation zone with two sloping support and resistance lines that finally converge. When trendlines appear anywhere on the chart, a wedge is present. The trendlines must coincide with swing highs and lows. The price moves in the same direction as the highs and lows. However, the rate at which the two types of extremes are generated varies. Traders should be aware that wedges can either rise or fall. The characteristics of a rising wedge are bearish while falling wedges are possible to be towards an uptrend or downtrend.