Hi everyone
I know this dip made everyone's hearth jumped and those of us who has been in crypto for a long time got excited for this opportunity to buy more. We tested the bottom 2 time and both dips bought up very quickly.
We have a bullish flag pattern being formed as I am writing this.
The main thing to look for in this pattern is volume. Volume confirms major moves and the likely hood that a breakout will be successful. The second thing you have to look for is a defined descending trend line that you can watch as the point of breakout. This will be the top part of the flag
Bull flag patterns do have a statistical edge if traded correctly but in the event the set up fails you need to know where to get out. There are a couple of different ways to manage this trade. The most common is to place a stop below the consolidation area. The other way is to use the 20-day moving average as a stop. So if prices close below that moving average then you would close out your position.
Happy Trading
Burak
I know this dip made everyone's hearth jumped and those of us who has been in crypto for a long time got excited for this opportunity to buy more. We tested the bottom 2 time and both dips bought up very quickly.
We have a bullish flag pattern being formed as I am writing this.
The main thing to look for in this pattern is volume. Volume confirms major moves and the likely hood that a breakout will be successful. The second thing you have to look for is a defined descending trend line that you can watch as the point of breakout. This will be the top part of the flag
Bull flag patterns do have a statistical edge if traded correctly but in the event the set up fails you need to know where to get out. There are a couple of different ways to manage this trade. The most common is to place a stop below the consolidation area. The other way is to use the 20-day moving average as a stop. So if prices close below that moving average then you would close out your position.
Happy Trading
Burak