CardanoLong
ADAUSD
The Complex Head-and-Shoulders Bottom
The new year started with the range bounces of price , not dropping and not moving higher but consolidating and complete the remaining right shoulder.
On the daily time frame, price has gradually formed a chart pattern called the COMPLEX HEAD&SHOULDER BOTTOM chart pattern.
A complex head-and-shoulders bottom is a chart pattern that looks like an inverted head-and-shoulders but with multiple heads, multiple shoulders, or sometimes both. The break even failure rate is low and the performance is good from this chart pattern. Break even failure rate is 7%.
Price trend downward leading to the pattern. The shape looks more like a head-and-shoulders bottom with multiple shoulders or multiple heads but rarely both. The shoulders should bottom near the same price, be nearly the same distance from the head, and look similar to their mirror opposite. The pattern confirms as a valid one when price closes above a down-sloping trendline or above the right armpit when the neckline slopes upward.
Patterns with down-sloping necklines perform better. Additionally to that, a possible EDGE to EDGE trade would likely happen.
always wait for breakout before taking a position.
VERDICT:
BUY: $0.04709572
SELL: $0.0549617 up to $0.06470296
STOP LOSS: $0.0388364
Remember TECHNICAL ANALYSIS is all about probabilities and based on previous market performance(not all about certainty)
Disclaimer: This is for educational purposes,it is not intended as a financial advice.
The analyst won't be responsible for a loss of fund. Trader should be able to manage risk.
HAPPY NEW YEAR!!
The new year started with the range bounces of price , not dropping and not moving higher but consolidating and complete the remaining right shoulder.
On the daily time frame, price has gradually formed a chart pattern called the COMPLEX HEAD&SHOULDER BOTTOM chart pattern.
A complex head-and-shoulders bottom is a chart pattern that looks like an inverted head-and-shoulders but with multiple heads, multiple shoulders, or sometimes both. The break even failure rate is low and the performance is good from this chart pattern. Break even failure rate is 7%.
Price trend downward leading to the pattern. The shape looks more like a head-and-shoulders bottom with multiple shoulders or multiple heads but rarely both. The shoulders should bottom near the same price, be nearly the same distance from the head, and look similar to their mirror opposite. The pattern confirms as a valid one when price closes above a down-sloping trendline or above the right armpit when the neckline slopes upward.
Patterns with down-sloping necklines perform better. Additionally to that, a possible EDGE to EDGE trade would likely happen.
always wait for breakout before taking a position.
VERDICT:
BUY: $0.04709572
SELL: $0.0549617 up to $0.06470296
STOP LOSS: $0.0388364
Remember TECHNICAL ANALYSIS is all about probabilities and based on previous market performance(not all about certainty)
Disclaimer: This is for educational purposes,it is not intended as a financial advice.
The analyst won't be responsible for a loss of fund. Trader should be able to manage risk.
HAPPY NEW YEAR!!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.