ICX/BTC - trading the adam and eve confirmation
Daily chart on left highlights Adam and Eve reversal pattern (A&E). With A&E reversal pattern we need the bottoms to be more or less at the same level for it to be valid. On the ICX/BTC chart it is a little stretch to call it the same level, but on ICX/USD it fits nicely. A&E reversal has a V shaped bottom (adam) followed by a rounded U shape bottom (eve), forming a double bottom. Adam, always precedes Eve. Once eve forms her high there will be a consolidation (handle).
For the adam and eve reversal pattern to be valid we need to break up from this handle, which is happening now. In this case our handle is a falling wedge.
Chart on the right shows 4 hour candles. We had bullish divergence on RSI and we saw strong move up beyond the upper limit of our falling wedge. We would like to see price be supported by the upper line, and then a move upward.
EP: .00045-47
TP 1: .00069 (start of heavy resistance area)
TP2: .0007752 (.786 fib retrace line and target from A&E)
TP3: .00084 (end of heavy resistance area)
*** not investment advice, educational purposes only.
For the adam and eve reversal pattern to be valid we need to break up from this handle, which is happening now. In this case our handle is a falling wedge.
Chart on the right shows 4 hour candles. We had bullish divergence on RSI and we saw strong move up beyond the upper limit of our falling wedge. We would like to see price be supported by the upper line, and then a move upward.
EP: .00045-47
TP 1: .00069 (start of heavy resistance area)
TP2: .0007752 (.786 fib retrace line and target from A&E)
TP3: .00084 (end of heavy resistance area)
*** not investment advice, educational purposes only.