After the previous chart we dropped, talking about the near price target to the upside( www.tradingview.com/...ough-the-resistance/), price has gradually been forming a bearish chart pattern.
Clearly shown on chart above we all know the name of the chart pattern above.
The DESCENDING TRIANGLE CHART PATTERN. A good example of the chart formation is the one we analysed on BTCUSD(daily time frame)
On the 4hours time frame the price chart of XAGUSD(SILVER) has been spotted forming a bearish reversal chart pattern(classical chart pattern).
The important things to look out for are the test of support(the horizontal level), additional indicators to probably make this bearish move more valid. With the use of BB(Bolinger bands) there was a constriction(squeeze/tight) of the bands which resulted to price moving up and the lower bands move down while the upper band trend upward.
Now the the current move is called the BEARISH MOVE DOWN. A sharp move to the lower band shows weakness. Both bands should move together to the downside before they will both move again and another squeeze.
This squeeze will likely result to a move to break through the support.
For more details on how the Descending triangle and the BB will play out, check out out previous analysis on BTCUSD:
All trader should wait for the breakout before opening a short position, and the following below should be noted:
Breakout price: $17.19215
Support 1: $16.97114
Support 2: $16.60367
Support 3: $16.04648
Good luck to everyone! Click the follow button to stay tuned for more trading ideas! Like the idea? Hit the like button!
Ideas published should not be referred to as an investment advice.
Clearly shown on chart above we all know the name of the chart pattern above.
The DESCENDING TRIANGLE CHART PATTERN. A good example of the chart formation is the one we analysed on BTCUSD(daily time frame)
On the 4hours time frame the price chart of XAGUSD(SILVER) has been spotted forming a bearish reversal chart pattern(classical chart pattern).
The important things to look out for are the test of support(the horizontal level), additional indicators to probably make this bearish move more valid. With the use of BB(Bolinger bands) there was a constriction(squeeze/tight) of the bands which resulted to price moving up and the lower bands move down while the upper band trend upward.
Now the the current move is called the BEARISH MOVE DOWN. A sharp move to the lower band shows weakness. Both bands should move together to the downside before they will both move again and another squeeze.
This squeeze will likely result to a move to break through the support.
For more details on how the Descending triangle and the BB will play out, check out out previous analysis on BTCUSD:
Breakout price: $17.19215
Support 1: $16.97114
Support 2: $16.60367
Support 3: $16.04648
Good luck to everyone! Click the follow button to stay tuned for more trading ideas! Like the idea? Hit the like button!
Ideas published should not be referred to as an investment advice.