First things first I am ultimately bullish on crypto overall but when chart patterns like this appear I have to pay attention to what I am seeing. Chart is on the log scale. This channel is drawn using the candle bodies for resistance and but wicks on the support. My experience tells me that if price hits the channel support will will be as drawn here.
The head and shoulders is show with full performance. This is a bull market overall so there is a fair chance that we don't impulse cleanly to full target
The orange shows a consolidation triangle with target at the channel support. The full performance of the triangle is outside the channel and I very much doubt we get full performance. It is important to recall that triangles are the easiest shape to recognize but some of the worst at performing to target.
The price action is about to lean heavily on the VSTOP and I suspect we see it flip here shortly. There is a chance price action continues sideways and downward for a day or so and down against channel resistance before dumping.
Given the way price slipped past the 20 period SMA lends me to think it will continue to act as resistance. Should price action mount the SMA then that is a sign to close manually.
I am not looking to be too greedy with this trade. I have a take profit around the channel midline and if price action blasts right to support I'll be fine with that. Soon I will have a stop loss that will be in the money.
Comment
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I've made some small additions to my short at the levels and times shown.
Here is a view of XRPXBT getting a good stropping. I hope to see some good basing behavior on both XRPUSD and XPRXBT before I go long. As I mentioned in my original post I am not looking to be too greedy and my take profit remains conservative around the performance of the head and shoulders, not full performance to the channel bottom.
Trade closed manually
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Trade closed at the time and level indicated as I was seeing strength I didn't like for my short. My channel has been broken and I have to consider my options.
Good luck everyone it’s a tough battle but the bears will come through
This_Guhy
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@Raykinofib, I feel bears only have short term control. Smart money is going to be looking at buying the bottom of daily bollingerband or weekly baselines (depending on the coin) for the bull run so I am just looking to scalp when buying pressure lets up. Bears and bulls make money and pigs get slaughtered. Can't be too greedy either side, especially with leverage.
Raykinofib
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Picture perfect beware of the wic outs though I’m feeling this
we got heavy rejection and double top on higher TFs.