This is a rising flag with a bear DIV on RSI and even more indicators I'm not showing (CCI, volume flow indicator, etc...).
I'm not calling it "bear flag" because those appears on a downward patter, I'm not calling it rising wedge because borders look parallel, so I don't know how to call it because I can't find anything specific about such pattern. Please if you know the name for this pattern do share it with me.
Here's what I know:
1) bear DIV against rising pattern it's a strong bear signal and means price should go down (in that case you have supports on the chart);
2) almost every chart similar to this I've seen since January went up against the bear DIV instead
3) at least 50% of those I can recall went further up to transform into a rising wedge and then went down but not as much as TA would have predicted.
This is my personal experience with such patterns.
I think the best way to trade this is to set a stop loss if you're in already, check if price goes below the channel, if this happens and price retests the channel without entering that's a short sell or spot sell confirmation. If it goes up ride it until it's overbought and then exit!
I'm not calling it "bear flag" because those appears on a downward patter, I'm not calling it rising wedge because borders look parallel, so I don't know how to call it because I can't find anything specific about such pattern. Please if you know the name for this pattern do share it with me.
Here's what I know:
1) bear DIV against rising pattern it's a strong bear signal and means price should go down (in that case you have supports on the chart);
2) almost every chart similar to this I've seen since January went up against the bear DIV instead
3) at least 50% of those I can recall went further up to transform into a rising wedge and then went down but not as much as TA would have predicted.
This is my personal experience with such patterns.
I think the best way to trade this is to set a stop loss if you're in already, check if price goes below the channel, if this happens and price retests the channel without entering that's a short sell or spot sell confirmation. If it goes up ride it until it's overbought and then exit!
Comment:
NOTE: I've been told that this pattern on BTT is actually a bull flag despite the bear DIV. Don't know...
Comment:
RSI broke the trend of the bear DIV, as I told you in my last TA (look point 2) this happened a lot since January. Probably this is really a bull flag. 1h Ichimoku cloud suggests it's going up and I think it'll pump hard, but if 4h candlestick closes as inverted hammer it will go down. If opened the trade watch out
Trade closed: target reached:
so if you entered WITH the stop loss as I suggested you got +44%, if you didn't put SL you risked in my opinion. Anyway, I think it's time to sell, the bearish DIV is still there and it pumped a lot. Assuming it'll go up a little bit more eventually this has to come down.