Dictionary of Finance and Investment Terms: wedge
wedge
technical chart pattern similar to but varying slightly from a triangle. Two converging lines connect a series of peaks and troughs to form a wedge. These converging lines move in the same direction, unlike a triangle, in which one rises while the other falls or one rises or falls while the other line stays horizontal. Falling wedges usually occur as temporary interruptions of upward price rallies, rising wedges as interruptions of a falling price trend. See chart on next page.
