THE DIAMOND BOTTOM.
As the crypto-market remains undecided to major breakout, some coins are showing a price reversal back to the upside.
On the daily time frame, the ETHUSD pair has been spotted forming a bullish chart pattern called THE DIAMOND BOTTOM.
This chart pattern look like a diamond in shape and has the following things to look out for when trying to spot it;
Price trend downward leading to the pattern, the shape looks like a diamond, but usually one tilted to the side.
Prices form higher peaks and lower valleys (a broadening pattern) in the first part of the pattern, then price action narrows with lower peaks and Trendlines outline many of the peaks and valleys, forming a diamond shape. Prices will touch each trendline once or twice. Don't worry if your lines cross some of the price outliers. Volume trend downward 67% of the time.
Upward breakout is 72% of the time, when price closes outside one of the trendline boundaries.
We always advise all traders to wait for breakout, before taking a trade.
VERDICT:
BUY:$139
SELL:$144 up to $156
STOP LOSS:$131
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.
As the crypto-market remains undecided to major breakout, some coins are showing a price reversal back to the upside.
On the daily time frame, the ETHUSD pair has been spotted forming a bullish chart pattern called THE DIAMOND BOTTOM.
This chart pattern look like a diamond in shape and has the following things to look out for when trying to spot it;
Price trend downward leading to the pattern, the shape looks like a diamond, but usually one tilted to the side.
Prices form higher peaks and lower valleys (a broadening pattern) in the first part of the pattern, then price action narrows with lower peaks and Trendlines outline many of the peaks and valleys, forming a diamond shape. Prices will touch each trendline once or twice. Don't worry if your lines cross some of the price outliers. Volume trend downward 67% of the time.
Upward breakout is 72% of the time, when price closes outside one of the trendline boundaries.
We always advise all traders to wait for breakout, before taking a trade.
VERDICT:
BUY:$139
SELL:$144 up to $156
STOP LOSS:$131
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.
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.
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.