Wedges, triangles, flags build liquidity on both sides before actual breakout or breakdown move.

There's more liquidity in form of the neckline. Once we break through that neckline, that's confirmation of the pattern. It's also a market structure break. What about wedges, triangles, and flags? You've seen these all the time, right? Price is forming some sort of triangle or some sort of wedge, or maybe it's a bull flag. And you might be wondering, okay, is this thing going to break out or break down first? Well, if you understand liquidity and market structure gives you a clue, generally with a wedge or a triangle, really what you're getting is you're getting liquidity built up on both sides of the market. That's why so often before the actual move occurs, one of these sides gets wiped out before the actual kind of distribution or continuation happens.