BTCUSD - Ascending Triangle + Bull Flag Possible Breakout Trades
I am slightly bullish based on current trend and patterns. On this uptrend, bull flag pattern could have formed and the previous similar pattern did play out from 5900 (30th Mar) to about 7200+ (3rd Apr) and currently another similar bull flag pattern could possibly be playing out.
Target 1:
If this breakouts out above 7300 there is a possibility of a target of 7900-8000 before next resistance holds price again. An even better trade long entry would be if the price breakouts and comes back down to test around 7250-7300 (resistance turns to support) and closes above this level before continuation upwards to reach target of 7900-8000. It can also go back down to test the support around 6400 to 6500 before bouncing and breaking out above 7300 as that is where the ascending triangle uptrending bottom line is.
It would seem that by Wednesday at the latest that should be an outcome as the price movement will be close to the end of the ascending triangle as described in more detail for Target 2.
Target 2:
Another pattern to look out for is the ascending triangle pattern that started on 13th Mar. If this breaks out and maintains support above 7300, after clearing target 1 around 8000, it needs to then stay above 7900-8000 for the possibility of the next leg up to about 9800-9900. By measuring the height of the ascending triangle, 9800-9900 would be a price point near the downtrending long-term (since price hit high of around 20K) line of the long-term symmetrical triangle. Check out the daily BTCUSD chart to plot this symmetrical triangle pattern from the 20K high.
Just sharing my bullish view. Trade only on breakouts with confirmation candles especially when resistance confirms as support for a less risky trade.
Only trade what you can afford to lose, nothing is 100% in life ever. Try not to trade on weekends, due to low volume, manipulators have their way.
Good luck!
Target 1:
If this breakouts out above 7300 there is a possibility of a target of 7900-8000 before next resistance holds price again. An even better trade long entry would be if the price breakouts and comes back down to test around 7250-7300 (resistance turns to support) and closes above this level before continuation upwards to reach target of 7900-8000. It can also go back down to test the support around 6400 to 6500 before bouncing and breaking out above 7300 as that is where the ascending triangle uptrending bottom line is.
It would seem that by Wednesday at the latest that should be an outcome as the price movement will be close to the end of the ascending triangle as described in more detail for Target 2.
Target 2:
Another pattern to look out for is the ascending triangle pattern that started on 13th Mar. If this breaks out and maintains support above 7300, after clearing target 1 around 8000, it needs to then stay above 7900-8000 for the possibility of the next leg up to about 9800-9900. By measuring the height of the ascending triangle, 9800-9900 would be a price point near the downtrending long-term (since price hit high of around 20K) line of the long-term symmetrical triangle. Check out the daily BTCUSD chart to plot this symmetrical triangle pattern from the 20K high.
Just sharing my bullish view. Trade only on breakouts with confirmation candles especially when resistance confirms as support for a less risky trade.
Only trade what you can afford to lose, nothing is 100% in life ever. Try not to trade on weekends, due to low volume, manipulators have their way.
Good luck!
Comment:
BTCUSD also showing both patterns
Bullish divergence and bull flag pattern on ETHUSD 4hrly chart
Bullish divergence and bull flag pattern on ETHUSD 4hrly chart
Comment:
This is also the 3rd time that a similar bull flag pattern has formed for BTCUSD. The previous two times this pattern had a bullish breakout. Weekend is around the corner so trade with care and avoid trading during the weekends where the manipulators find it easy to move price to their advantage with low volumes.
Possible bull flag also forming on ETHUSD 4hrly
ETHUSD also did show bullish divergence on the weekly chart in March