THE DESCENDING CHANNEL
When price trends upward or downward and fits between two parallel trendlines, the chart pattern is called a channel.
The price trend leading to the channel can be from any direction. The shape looks more like a pipe tilted up or down, but not horizontal. See rectangle tops or rectangle bottoms for horizontal channels. The two trendlines should be parallel or nearly so. Both should tilt upward or both should tilt downward. Price should touch each trendline at least twice as distinct peaks or valleys.Price should cross the pattern from trendline to trendline, nearly filling the available space. Breakout Occurs when price closes outside the trendline boundary and can be in any direction(upside 57% of the time).
VERDICT:
BUY: $46.46
SELL:$46.91 up to $47.85
STOP LOSS:$45
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.
When price trends upward or downward and fits between two parallel trendlines, the chart pattern is called a channel.
The price trend leading to the channel can be from any direction. The shape looks more like a pipe tilted up or down, but not horizontal. See rectangle tops or rectangle bottoms for horizontal channels. The two trendlines should be parallel or nearly so. Both should tilt upward or both should tilt downward. Price should touch each trendline at least twice as distinct peaks or valleys.Price should cross the pattern from trendline to trendline, nearly filling the available space. Breakout Occurs when price closes outside the trendline boundary and can be in any direction(upside 57% of the time).
VERDICT:
BUY: $46.46
SELL:$46.91 up to $47.85
STOP LOSS:$45
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.