BCH/USDT Symmetrical Triangle Breakout Soon - Which way?
BCH/USDT is almost done forming a symmetrical triangle. Here is my breakdown assuming it breaks out to the top.
Entry: After 4hr candle closes above top sloping line of symmetrical triangle with a significant increase in volume. Apprx $2,705
Stop Loss: After 4 hr candle closes below $2,240
This is just under the 61.8% Fib retracement level (38.2% as shown on chart, since chart shows extensions). Interestingly enough the 61.8% retracement level also corresponds with a previous support/resistance that has been tested several times
Exit: Overall Conservative Target is $3,695. This is the current 4hr close high.
I plan on laddering my sells in 3 increments:
Target 1: $3,019 - Sell 1/3
Target 2: $3,447 - Sell 1/3
Target 3: $3,682 - Sell 1/3
Profit:
36.6% - Straight sell at $3,695
25.1% - Laddered sells at targets 1-3
Risk to Reward: 2.1 based on straight sell at $3,695
Lmk your thoughts and good luck!
Entry: After 4hr candle closes above top sloping line of symmetrical triangle with a significant increase in volume. Apprx $2,705
Stop Loss: After 4 hr candle closes below $2,240
This is just under the 61.8% Fib retracement level (38.2% as shown on chart, since chart shows extensions). Interestingly enough the 61.8% retracement level also corresponds with a previous support/resistance that has been tested several times
Exit: Overall Conservative Target is $3,695. This is the current 4hr close high.
I plan on laddering my sells in 3 increments:
Target 1: $3,019 - Sell 1/3
Target 2: $3,447 - Sell 1/3
Target 3: $3,682 - Sell 1/3
Profit:
36.6% - Straight sell at $3,695
25.1% - Laddered sells at targets 1-3
Risk to Reward: 2.1 based on straight sell at $3,695
Lmk your thoughts and good luck!
Trade active:
Trade active as of 4hr close above trend line last night.
Here is an alternate trend line for the top of the triangle. It looks more accurate than what I drew originally, because this one gets tested many more times when you consider candle wicks instead of just bodies. Assuming this one is "true", it looks like its being treated as a support after initially being a resistance. This is a sign confirming that we have indeed broken out of the triangle
Here is an alternate trend line for the top of the triangle. It looks more accurate than what I drew originally, because this one gets tested many more times when you consider candle wicks instead of just bodies. Assuming this one is "true", it looks like its being treated as a support after initially being a resistance. This is a sign confirming that we have indeed broken out of the triangle