Chart Pattern Analysis Of Near.
Updated
https://www.tradingview.com/x/cZ61DJUD/
K2 and K3 is a bullish engulfing pattern,
And the decreasing supply pressure verified a potential uptrend here.
If K4 close upon the neck line under increasing volume,
It will be a good place to buy it there.
But, it is not safe to buy it at K3 immediately,
The increasing volume of K3 means the supply pressure still at high level.
K1 to K3 is a strong bullish morning star under increasing volume.
It is a good signal that the short-term downtrend had been reversed here.
But it must be verified by the following candles.
The bullish momentum must keep strong and the demand should not decrease.
The neck line is a potential good place to buy it there if the following candles successfully test it.
K2 and K3 is a bullish engulfing pattern,
And the decreasing supply pressure verified a potential uptrend here.
If K4 close upon the neck line under increasing volume,
It will be a good place to buy it there.
But, it is not safe to buy it at K3 immediately,
The increasing volume of K3 means the supply pressure still at high level.
K1 to K3 is a strong bullish morning star under increasing volume.
It is a good signal that the short-term downtrend had been reversed here.
But it must be verified by the following candles.
The bullish momentum must keep strong and the demand should not decrease.
The neck line is a potential good place to buy it there if the following candles successfully test it.
Note
From K1 to K2,
The demand pressure is decreasing.
It is not a good signal.
If the following candles stay at high price area,
Or successfully retest the neck line under decreasing volume,
It will be a safe place to buy it.
Note
K2 and K3 is a strong bearish engulfing pattern.
It verified the previous short-term downtrend.
But, the supply pressure is decreasing,
If the following candles retest the resistance under sharply increasing volume,
The previous short-term downtrend may recover its strength and expand.
At present, there is still not any good place to buy in.
Trade closed: stop reached
K2 is an over-selling candle,
It verified the nearest downtrend expanded or the downtrend is accelerating.
I didn’t expected such deep drop.
It is very likely that the following candles will consolidate here fore days Or Keep dropping.
Both of the two situations is a bad signal to long-term holders.
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