Yet another BULLISH PENNANT FLAG PATTERN. Same set up just like the LTCUSD.
Always watch out for the breakout and the close of the candle stick body above the resistance before taking a trade.
So like we all know, bullish pennants, just like its name suggests, signals that price is about to move higher.
This means that the sharp climb in price would resume after that brief period of consolidation, when bulls gather enough energy to take the price higher again. The pennant flag pole is more important to take note of as it is used to calculate the take profit levels, which are always placed at the fibonacci extension ratios.
NOTE: A lot of rejection wicks outside the resistance of the pennant flag, which indicates that the bears are holding price down from moving higher that is why we always advice all traders to wait for a proper break before opening a long position.
Risk Disclaimer:
Trading cryptocurrency on margin carries a high level of risk(volatile), and may not be suitable for all trades who are yet to understand how to use STOP LOSS. The high degree of leverage can work against you as well as for you.
It is your responsibility to confirm if you want to take this trade or not. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations.
If you do not fully understand these risks you must seek independent advice from your financial advisor.
Always watch out for the breakout and the close of the candle stick body above the resistance before taking a trade.
So like we all know, bullish pennants, just like its name suggests, signals that price is about to move higher.
This means that the sharp climb in price would resume after that brief period of consolidation, when bulls gather enough energy to take the price higher again. The pennant flag pole is more important to take note of as it is used to calculate the take profit levels, which are always placed at the fibonacci extension ratios.
NOTE: A lot of rejection wicks outside the resistance of the pennant flag, which indicates that the bears are holding price down from moving higher that is why we always advice all traders to wait for a proper break before opening a long position.
Risk Disclaimer:
Trading cryptocurrency on margin carries a high level of risk(volatile), and may not be suitable for all trades who are yet to understand how to use STOP LOSS. The high degree of leverage can work against you as well as for you.
It is your responsibility to confirm if you want to take this trade or not. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations.
If you do not fully understand these risks you must seek independent advice from your financial advisor.