But it is a setup that in my experience from here could very well turn out to be very . I have it seen before. We are speaking of high upwards potential clearly, not just 10 percent or so, but multiples of that.
has some divergence in it, but sadly not superclear. It's on my watchlist now to take on a position when some more reference points occur. I will update my idea when that happens. Feel free to share your thoughts on NEO or ask some more particular information in the comment section!
I post a chart for the sake of posting it, not much to see here except a nice looking build up.
Zoom in 15, it's all still possible for bulls. Not that much wrong at this moment.
I could add to my position however, when we a) make one more tiny low or undershoot towards that under blue horizontal line, or b) when a ma50 Bollinger confluence on one of the smaller timeframes should occur. (That could perfectly be somewhere quite substantially higher than the low. I do not necessarily need to buy THE low).
That ma50 Bollinger confluence does need to have a certain 'quality' to it.
This is - I agree and I am fully aware of - a rather subjective, quite discretionary assessment, with roughly two components to it:
1) First of all I want to trade them - most if not all the time - in the direction of the trend as seen/analyzed on minimum the 1h 'chart. I am not going to hunt every minor bounce intraday.
(side note: that trend could very well have been DOWN/SHORT on last Monday for instance @BTCUSD, no paradox there, although BTC is in a massive bullphase. When the triangle structure around 40k was left, it was definitely bear mode on the hourly chart.)
2) Secondly, I would like to see some form of 'harmonious' chart build, and/or as many other confluences as possible in that area: that could be a fibonacci number, trendline(s) or some chart pattern, or it as well could be an harmonious "three wave structure".
(At least I call it that, EW specialists will definitely not). It comes down to this: some waves who clearly are part of a same larger movement I prefer to have similar proportions in height and more important length (time). The latter is something that I personally use and have incorporated in my trading through yeah, just much chart staring and clicking and lookin' for edges, I suppose. :-)
it all will make some better sense throughout my ideas. Mea culpa for now...
Probably if not certainly this approach has been already the subject of dozens of articles and books, in the field of Technical Analysis. I haven't read that much TA books to be honest. Along the way I have encountered many lists though with regard to "which TA books EVERY trader definitely should read!". Does that count as well? ;-)
Enough lists let alone books to keep me be busy non stop 24/7 reading for years and years to come. ;-)
Anyway, end of my sermon for today...As always, I wish you a happy and safe trading session!