GOLD / Triangles / Channels / Breaks
Updated
It's not a difficult time if you just know where to look.
Look for important turning points in price. Whether it be a price it's visited multiple times or just once. Use them in your research when making accurate decisions on price direction.
Look for important turning points in price. Whether it be a price it's visited multiple times or just once. Use them in your research when making accurate decisions on price direction.
Note
Here is a little more information on the chart pattern name and what price will *normally* do with this pattern. There are a couple of key indicators of the movement you need to still consider before you can call it a Symmetrical Triangle.- Symmetrical Triangle
The price needs to break in the apex / point of the triangle, it also needs to break down. If it breaks up, this is a completely different type of triangle pattern. Before you can call it a Symmetrical Triangle pattern you need to see a sloping down trendline drawn at the top of the price's highest peaks and a upwards connecting trendline at the prices lowest points to complete it.
- Channel
In a channel you'll see the past price 'bounce' between it's highest price point and it's lowest price point multiple times during a period of time. This can be a few seconds, hours, minutes, days or even weeks. It all depends what's going on in the world, there isn't one entity controlling the price, so it's best we analyze it from a price-action perspective, which is what we're doing today.
With a channel, you can see the price breaking it but on that same candlestick, retracing back up again and closing still within the red box. This is creating our channel, to make this easier you can mark the 'top' and 'bottom' of a channel by using horizontal line tool on TradingView. This will display the prices on the left of those lines so you can see if it is in fact, a channel.
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