Yet we still advice all traders to stay clear until that resistance is broken to the upside. More to that is the use of Bolinger band indicator which give us more clear signal of the this impending breakout on the 3hours time frame.
As clearly shown the chart there is currently a expansion happening which was as a result of the band squeeze while price remained above the (more signal that price will push higher from its current price.
The CHART PATTERN.
This chart pattern can be called a reversal or continuation chart pattern, based on where is was spotted.
What is clearly shown on the chart is a reversal chart pattern. When price continues to hug the resistance for too long, that is a clear signal to get ready to open a long position. As chart pattern has an horizontal resistance and a diagonal support.
Clearly shown above is a typical example. The most important aspect of this pattern is to wait for the body of the candle stick to close above the horizontal resistance.
Breakout price: $18.079
Resistance 1: $18.183
Resistance 2: $18.299
Resistance 3: $18.478
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Ideas published should not be referred to as an investment advice.