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Wedge

Why I decided to change my trading style and method after years Why I decided to change my trading style and method after years: First of all, I am not here to bash and talk negative on other traders who are consistent traders who do use these methods to their success. I am sharing my on personal journey and opinions, based on past experiences and past journal/history. By no mean I am saying my current style or strategies are better. I am creating this post for educational purpose only, no offense/criticize is done here to anymore. 1. I actually used to trade with S/R, supply/demand zone, and small number of indicators (MACD, EMA, RSI...etc), you can look back at my tradingview post years ago. 2. I have been somewhat consistent with those strategies and methods, and do generate profits within the years that I have adapted those type of strategies. 3. The time when I decided not to implement those methods anymore, is because when I back test and look back at my trading journals and history, I find out ways that I could improve my trading potential. 4. I realized many of these S/R, indicators are actually acting as an invisible barrier for me when I trade. 5. Many of my trades in the past have been short lived due to me sticking to my trading plan and exit a trade when the price hits a certain "criteria" such as 50 EMA, some S/R zone, or fibs level...etc.. 6. While its good to follow and stick to my trading plan and risk management, but when I do self reviews on past trades, I begin to find out there is a lot of profit I am leaving on the table. Or, poor trade management due to similar issues. 7. I begin to do in depth research on these topics and come to my personal conclusion. 8. The true is, I dont need any of those indicators and S/R level/zones on my chart. Simply remove all of them and see how the price is on a raw level. 9. I fully understand when the price is in its impulsive phrase, none of these indicators or levels can "resist" or "support" the price. The price simply breaks them or "impulse" through them. When the price is in its corrective phrase, this is when those levels or indicators work since price is in a correction nature and allowing those levels or indicators to "catch up" to the price. 10. When I dig deeper and more research and analysis, I begin to see the market on a totally different level. I realized how the market moves, and why it moves. 11. There is a saying, "Dont just believe what the others are telling you", or "Try it yourself before saying it out loud". I certainly put in time and effort into this and have done substantial amount of work to be confidence to express here. I hope this brief post is helpful for those traders who are still trying to identify how to trade and what to adapt in their trading plan. I welcome any positive/constructive comments, feedback, suggestions or opinions. Thank you
BITSTAMP:BTCUSDEducation
by jojofang0901
3
RISING AND FALLING WEDGES Good afternoon. Today we are looking at another chart pattern RISING AND FALLING WEDGES . Let’s get on it. Wedges can either be continuation or reversal patterns. Just to refresh your memory, continuation patterns are formations that show side way price action, signalling a temporary pause in the trend; whereas reversal patterns indicate a change in the trend. Whether wedges are continuation or reversal, it’s not really significant, what matters is spotting the pattern, and knowing how to make money out of it. Wedge patterns are classified as either RISING WEDGES OR FALLING WEDGES. Rising wedges, as the name implies, slopes upwards, and they eventually break to the downside Graphically, rising wedges look like the above sketch chart(Sketch 1) notice how the slope of the support line is steeper than that of the resistance. This indicates that higher lows are being formed faster than higher highs. That is precisely how the wedge pattern get to be formed. The inverse of the rising wedge is the FALLING WEDGE , which usually breaks to the upside.(Sketch 2) Just like on the rising wedge pattern, the falling trend line connecting the highs (resistance) is steeper than the trend line connecting the lows (support). As mentioned earlier, rising and falling wedges can either be continuation or reversal patterns. But whether they be continuation or reversal patterns is not our focus, our focus is on making money when these patterns ‘BREAKOUT’ . If you case you are wondering what we mean by ‘breakout’; consider the chart above(Sketch 3) of a falling wedge and a rising wedge, and how they typically break to the upside and downside, respectively Now let’s look at how we can make money out of a RISING WEDGE PATTERN. Let’s start by considering the chart (Sketch 4) Now, when entering a Short trade based on a rising wedge, it’s important to wait for a break and close below the support line. After this close, aggressive traders can ‘pull the trigger’. But a more conservative way to enter the trade, is to wait for a retest of the previous support (now resistance) before pulling the trigger. In this case the sequence will be something like this: 1. Wait for a close below support 2. Wait for a retest of the previous support 3. If the previous support act as resistance, then enter short trade A Long trade based on a falling wedge is entered on the same principle (but in reverse), that is, 1. Wait for a price close above resistance 2. Enter Long trade at that close (for aggressive traders) 3. For conservative traders, wait for a retest of the previous resistance (now support) before pulling the trigger That’s ENTRY, now let’s look at placing stop loss and take profit levels when trading wedge patterns. Take profit target should ideally be the height of the wedge formation. Consider the chart above(Sketch 4) Stop loss orders should always be placed at a level that if hit, it will invalidate the trading set up. In the case of rising wedges, this level will be the area just above resistance. The opposite is true for falling wedges, place stop loss just below support. Thanks for your Likes and Support.... Until next time, let’s keep if Profitable!
COINBASE:BTCUSDEducation
by TaherJalili
10
EURUSD | Falling Wedge & Trend Line...!!EURUSD (Update) In 4h Chart, EURO Has been forming Falling Wedge Pattern. At the Moment, It's Heading towards the Major Trendline. (Still in Uptrend) Now There Are Two Possible Scenarios...!! 1- If Trendline Broken Down, It Might test the 1.102** (Fib 38.2%) Area. 2- If Bulls Hold the Trendline, & Bounced Back, Expecting Wedge Breakout. In Case of Wedge Breakout, EURO Might test the 1.138** Area (Major Resistance) So Be Ready for Both Bearish & Bullish Scenarios..!! Please like the idea for Support & Subscribe for More ideas like this and share your ideas and charts in Comments Section..!! Thanks for Your Love & Support..!
Education
by Faibik
7
Bitcoin | Halving FOMO & Wedge Formation..!!BTC/USD (Update) Bitcoin Has been doing Awesome Job since 12th March Crash, Majority Were Waiting for 1k Dip & Missed it. At the Moment, Bitcoin Has Recovered up to 140% Since 3.8k Dip/Bottom. It's Been Breaking the Every Single Resistance one by one & Liquidating the Bears . In Bigger Chart, It's Following the Expending Wedge Pattern & Now Heading towards the Major Resistance (9.6k) Yesterday, Bulls Did Great Job & in Strength (That's the Real Halving fomo, We're Waiting for) I Hope You Guys Enjoying the Bitcoin Ride & We're too Closer to Bitcoin Halving ( Almost 12 Days Away) Please like the idea for Support & Subscribe for More ideas like this and share your ideas and charts in Comments Section..!! Thanks for Your Love & Support..!
COINBASE:BTCUSDEducation
by Faibik
19
Judge the price action momentum - rising wedge pattern and RSIThere are a number of ways to judge the price action momentum. In the previous post, I show you using trend channel as an alternative to up wave or upward thrust to gauge the buying or selling momentum. In this video, I also adopt the same example S&P 500 futures ( CME_MINI:ES1! ) to show you using the popular pattern - rising wedge and RSI indicator to achieve the same objective.  Yet, what I would like to emphasize is to understand the rationale behind the pattern and the indicator, which we can always go back to the first principle to find out, i.e. why a rising wedge is bearish in nature or what bearish divergence in RSI actually means? Once you understand the rationale or the first principle about the price action momentum, you can start trading without memorizing every single pattern or indicator if you prefer.
CME_MINI:ES1!Education
by mingjong
2
NZDUSD Aloha, welcome to the new week! Wanted to share a tip that has helped me save money and kept my psychology sane: Let the market develop for the first few hours before placing a trade. Reason being is spreads are usually steep and the market can be volatile and choppy. NZDUSD was on my watch at the end of last week and my last analysis shows that I would be going long on this trade, however, applying a the rule of "let the market decide in the first 4-5 hours", minimum, has saved me from a quick loss of -1% on this trade and countless others trades. I like the 15min wedge for a continuation, the 50ema on 4hr, 1hr, and 15min all support my thoughs of going long. However, The daily is stil developing to either break above the 50 or reject it and have a crash. Any way, hope this in your trading journey! Stay patient and wait for your strategy to play out, no need to rush it! Mahalo for reading, happy trading all!
Education
by Reid_Hicks
How to use trend channel to judge the price action momentumIn this video, I use S&P 500 futures CME_MINI:ES1! as an example to show you using trend channel to judge the price action momentum. At the later part of the video, I also show the use of upward thrust, and the up wave on top of the channel to judge the momentum. It is important to assess the price action momentum of any trading instruments (i.e. stocks, Forex, futures, bond, bitcoin, etc…). If there is a fading of momentum, this is the first sign of weakness to pay attention to before we start to anticipate a change of character, e.g. a down-wave to at least stopping the uptrend, if not reversing the trend immediately. Having said that, do not get misled that if we see loss of momentum of the trading instruments, we need to get bearish to short, simply because this is only a red flag for us to anticipate potential weakness ahead. And it will take time to materialize. As long as we have a structure with higher high and higher low, the up trend is still intact.
CME_MINI:ES1!Education
by mingjong
4
GOLD | Rising Wedge & Major Resistance..!!XAUUSD (Update) In 8hr Chart, Gold Has been forming Rising Wedge Pattern & Heading towards the Major Resistance Area (1685-1690) If It's Failed to Clear the Major Resistance then Expecting Wedge Breakout towards the 1560-1570 Area. If Bulls Cleared the Resistance then Wedge Pattern Will be Invalid & It Might PUMP Hard towards the 1800 Area. Please like the idea for Support & Subscribe for More ideas like this and share your ideas and charts in Comments Section..!! Thanks for Your Love & Support..!
FX:XAUUSDEducation
by Faibik
3
Bitcoin | Rising Wedge & CME GAP..!!BTC/USD (Update) In 4hr Chart, #Bitcoin Forming Rising Wedge Pattern & Almost Ready for Big Move. If Wedge Broken Upside, Then Bulls Might fill the $800 Unfilled gap in Coming Days. If Wedge Broken Downside, then It Might Test the 5.8k Area. BTW Rising Wedge is Bearish Pattern.(70/30) In 8h Chart, Still Bulls trying to Clear the Important Resistance (6840-6960) but Bears Defending it. Waiting for Strong Confirmations i.e RSI, MACD, Volume & EMA50 & 100!! Please like the idea for Support & Subscribe for More ideas like this and share your ideas and charts in Comments Section..!! Thanks for Your Love & Support..!
CME:BTC1!Education
by Faibik
14
👨🏽‍🎨👩🏽‍🎨👨🏻‍🏫HOW TO MAKE TA IN 10 MIN 👨‍🏫👨🏻‍🎨🧑‍🎨Hello guys! In next 10 min I will teach you how to make TA! Really simple steps to create your TA. 4 useful tools to build your TA: -Trend Line -Head and Shoulders -Levels -Fibonacci ATTENTION: Dear followers please consider to appreciate my ideas on tradingview with your likes, this will help bring more quality content in next trading ideas. And if new to my work, and you like it, you can Follow my page to receive ideas in your Ideas Stream. Thanks 🤝😊 Stay tuned to Artem Crypto
WEducation
by ArtemFuturesTrading
17
Two shapes of Rising Wedge PatternsI have explained about Rising Wedge Patterns on this Tutorial in detail. Rising Wedges are bearish pattern and it generates bearish signal; Rising Wedge Patterns forms with Higher Highs and Higher Lows. Rising Wedge pattern basically forms in two shapes ; If rising wedge pattern forms in an uptrend it will make reversal and if rising wedge pattern forms in a downtrend it will make continuation. The higher highs and the lower lows along makes a trend resistance and trend support. When breakout occurs downside, price breaks the trend support line. In rising wedge breakout occurs downside 60 to 70% of the time. To confirm a true breakout, we can take help of Volume indicator. In a true breakout there will be big volume than usual. We should use other indicators like MACD and RSI also to confirm that it will turn bearish before taking entry in a trade. (We can see MACD divergence, RSI Divergence and where the RSI is...) Thank You; Stay Tuned 👍, more tutorials and strategies coming!
Education
by tapasdhanadana
1
Two Shapes of Falling Wedge PatternsIn the previous educational post, i posted about Rising Wedge patterns and in this post i have explained about Falling Wedge Patterns. (Falling Wedge is opposite of Rising Wedge pattern; for every chart patterns there are opposite patterns excluding some.) Falling Wedges are Bullish Patterns and it generates bullish signal, Falling wedge patterns forms with Lower highs and Lower lows. Falling Wedge pattern basically forms in two shapes same as Rising Wedge ; If Falling wedge pattern forms in an uptrend it will make continuation and if Falling wedge pattern forms in a downtrend it will make reversal. The Lower highs and the lower lows along makes a trend resistance and trend support. When breakout occurs upside, price breaks the trend resistance line. In Falling wedge breakout occurs upside 60 to 70% of the time. To confirm a true breakout, we can take help of Volume and other indicators. In a true breakout there will be big volume than usual. We should use other indicators like MACD and RSI also to confirm that it will turn bullish before taking entry in a trade. (We can see MACD convergence, RSI convergence) Stay Tuned 👍 ; Thank You; Check out Rising Wedge if you didn't ()
Education
by tapasdhanadana
1
Golden Cross V Rising Wedge and Low VolumeHello Traders, Bitcoiners, Hodlers and Chart Watchers, Looking mostly at the Daily BTCUSD Pair: On the current trend the 50MA/200MA golden cross will happen ~ 2/20/2020 - Within a week The BTCUSD pair on the daily chart is showing a steep rising wedge that will break within a week Xi Jinping Resistance ranges between 10,480 - 10,580 What is most interesting about this chart is that that Xi Jinping announced support for blockchain technology right after the Death ~ 10/24/2019 and The BTCUSD pair rose sharply with volume. Had there been no positive news at the time, the BTCUSD pair should have tanked to the long term support set in December 2018 to march 2019. What will happen when we make the golden cross in a week? Time will tell.
BITFINEX:BTCUSDEducation
by bobaib