Rectangle

Rectangle finds the sideways box the classical way: confirmed swing highs clustering into a flat ceiling, confirmed swing lows into a flat floor, each boundary proven by at least two genuine touches within an ATR-scaled tolerance, and no decisive close beyond either side across the formation. Once confirmed, the rectangle has no expiry (the box extends until a boundary gives way), with the proving touches dotted on the chart.

How to Trade the Rectangle?

• Decisive close beyond a boundary: the breakout label prints with volume as a multiple of its recent average. A conspicuously quiet break earns suspicion.
• Measured target: the box height projected from the broken boundary (the classical minimum objective), drawn dotted until reached.
• Failed breakout: a close back inside before the objective traps one side; a cue to stand down or consider the reverse.
• Partial rise / partial decline: an incomplete rotation, the documented lean toward the opposite side breaking.

Ceiling and floor tests inside the box carry their own alerts, nine in total.

Rectangle Settings

• Swing Length (default 5): bars each side to confirm swing touches.
• Minimum Touches per Boundary (default 2): the classical proof standard.
• Boundary Tolerance (default 0.5) with Tolerance ATR Length (default 14): how far touches may spread and still count as one boundary.
• Maximum Formation Length (default 200): the bar span allowed between the first and last touch.
• Measured Target, Mark Failed Breakouts, Volume Note on Breakouts (all default enabled) with Volume Average Length (default 20).
• Partial Rises & Declines (default enabled) with Minimum Rotation % (default 50); style inputs cover colors and touch markers.

Frequently Asked Questions

How does a rectangle differ from a triangle?

Which way does a rectangle break?

What do partial rises and declines signal?