A head and shoulders formation has formed for XRP. The downward trend hasn't crossed the neckline yet so it could still go either way but I am bearish for the short term of ripple.
Few indicators:
- the volume throughout the head and shoulders pattern shows a confirmation of a bearish trend
- The volume on the ascend of the left shoulder was higher than it was on the advance of the head
- The volume then increased on the decline of the peak of the head
- volume increased on the decline of the right shoulder
The head and shoulders pattern is not yet complete as the neckline hasn't been breached yet. I do still look at this as bearish as the neckline is downward sloping (low of the left shoulder is higher than the low of the right shoulder).
If it breaks the neckline we could see it drop back down to the major support at 0.00006200. There will then be a new resistance at 0.0001200.
Again, this is not confirmed but will keep an eye on it.
Happy trading,
D
Few indicators:
- the volume throughout the head and shoulders pattern shows a confirmation of a bearish trend
- The volume on the ascend of the left shoulder was higher than it was on the advance of the head
- The volume then increased on the decline of the peak of the head
- volume increased on the decline of the right shoulder
The head and shoulders pattern is not yet complete as the neckline hasn't been breached yet. I do still look at this as bearish as the neckline is downward sloping (low of the left shoulder is higher than the low of the right shoulder).
If it breaks the neckline we could see it drop back down to the major support at 0.00006200. There will then be a new resistance at 0.0001200.
Again, this is not confirmed but will keep an eye on it.
Happy trading,
D
Comment:
Ripple is testing the neckline at 0.00012000. If it falls below this I expect it to fall to a lower support. Will update chart if it breaks the neckline.
Comment:
Bounced right off of the 0.00012000 neckline, will wait to see if it tests it again. Huge buy wall at 0.00012
Comment:
Broke the neckline. Falling very fast. See how far it goes but I could see it dropping to major support at 0.00006800.
Comment:
I still have a short position on XRP. Even when markets recover I can see it following down this price channel and bounce off support to start a new uptrend.
