BTC: Island gap reversal with possible bounce at 48/52k area
BTC: Island gap reversal with a possible bounce at the 48/52k area .
BTC remains in an upwards moving trading range; however if BTC drops below 48k then could move to the 46K area for a bounce .
BTC remains in an upwards moving trading range; however if BTC drops below 48k then could move to the 46K area for a bounce .
Comment:
The long term trend still remains Bullish as BTC continues making higher highs and higher lows .
Comment:
The Island Reversal Gap Chart Pattern
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The Island Reversal Gap Chart Pattern is a commonly occurring chart pattern in the stock markets. In fact the name comes from the stock markets as gaps were quite a common phenomenon in the equity markets. However, the island reversal gaps in the forex markets are not that frequent. While gaps in the forex markets, especially on a Monday open are now common, finding an island reversal gap is quite rare. Therefore, traders who are interested to trade this pattern are better to act when the pattern emerges rather than simply wait for the pattern and stay on the sidelines.
Among the many different types of patterns, the island reversal gap patterns are unique as they have higher odds of being successful. The island gap pattern can be typically applied to any time frame, although it is best to limit this pattern to the 15-minute chart and higher time frames in the forex markets. The island gap reversal pattern, as the name suggests is a reversal pattern. When you see this pattern emerging after a strong uptrend or a strong downtrend, you can expect the markets to reverse. Stock market traders also make use of volume as an additional confirmation tool.
In the very short term, the island gap reversal pattern can be a good way to speculate the markets. It is a pattern and not a strategy therefore; traders should combine the island gap pattern with other confirmation indicators or trading strategies.
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The Island Reversal Gap Chart Pattern is a commonly occurring chart pattern in the stock markets. In fact the name comes from the stock markets as gaps were quite a common phenomenon in the equity markets. However, the island reversal gaps in the forex markets are not that frequent. While gaps in the forex markets, especially on a Monday open are now common, finding an island reversal gap is quite rare. Therefore, traders who are interested to trade this pattern are better to act when the pattern emerges rather than simply wait for the pattern and stay on the sidelines.
Among the many different types of patterns, the island reversal gap patterns are unique as they have higher odds of being successful. The island gap pattern can be typically applied to any time frame, although it is best to limit this pattern to the 15-minute chart and higher time frames in the forex markets. The island gap reversal pattern, as the name suggests is a reversal pattern. When you see this pattern emerging after a strong uptrend or a strong downtrend, you can expect the markets to reverse. Stock market traders also make use of volume as an additional confirmation tool.
In the very short term, the island gap reversal pattern can be a good way to speculate the markets. It is a pattern and not a strategy therefore; traders should combine the island gap pattern with other confirmation indicators or trading strategies.