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(Review) Definition trend and change of trend ( Trend reversal) (Review) Definition trend and change of trend ( Trend reversal) EX: Discussion: Downtrend - Definition A downtrend comprises a repeating sequence of: 1) A downward extension 2) A swing low 3) An upward pullback 4) A swing high A downtrend ends when price breaks the swing high which leads to the lowest swing low of the trend Uptrend - Definition An uptrend comprises a repeating sequence of: 1) An upward extension 2) A swing high 3) A downward pullback 4) A swing low An uptrend ends when price breaks the swing low which leads to the highest swing high of the trend EX: Prior analysis ( Downtrend) - Countertrend - Reversal trend: - Downtrend forming=> Sell - Continuous downtrend Please support the setup with your likes, comments and by following on TradingView. Thanks
Education
by DatTong
25
10 TIPS TO PREVENT FOMO1. Ask yourself why you want to invest, is it out of jealousy from others cashing in big? Do you want to be apart of the next big hype stock? If you answer yes to either of these do not trade, trading from this emotional perspective will only result in you losing money. 2. Warren Buffet said ''be greedy when others are fearful and fearful when others are greedy'' apply this logic to your decisions, chances are if the stock has pumped tenfold already and people are still greedy this could be an indicator you shouldn't trade - there are always more opportunities. 3. Ask yourself ''am I a sheep?'' Sheep do not make money in the stock market, do not blindly follow peoples ideas, question them and formulate your own understanding. 4. Where did you see the stock? if it was on the news the ship has sailed and you shouldn't buy it, at this point it is already too late. 5. Be careful of stocks that appear to be pushed by the same groups of people - this indicates little to no adoption and they are hoping that you buy their bags from them. 6. If you can't explain what the company does and why it's a good idea do not buy it. Always do your research first, learn about the team, the product, the vision and financials before investing. 7. If the market is mostly green its time to sell, if the market is mostly red, its time to buy. 8. Is it a meme stock? if yes either be an early adopter or do not buy it. 9. Have you got spare capital? always take into account your financial situation and be prepared to lose - never invest more you are willing to lose. 10. Learn to take losses - otherwise, you will end up holding your bag down a -80% drop. Hope this was usefull ''Buy Big Sell BIGGER'' - MegaWhale
by MegaWhale
BINANCE COIN! A defined Setup with Huge Risk:Reward!BINANCE:BNBBTC 🚨PLEASE LIKE AND SHARE IF YOU FIND IT USEFULL🚨 Some of you liked the way I explained my procedure for enteering a trade and calculating position size in my EOS/USD swing trade, so today I'll try to replicate it with this new BNB/BTC setup that I found. ** This analysis is ment for educational purposes, not financial advice. Trade at your own risk ** 🟠 ¿WHY AM I ENTERING THIS BNB/BTC TRADE? The first thing to consider is that there is clear evidence that the 2019 highest weekly close is acting as support after breakout. The previous two candles have long wicks down that immediately show rejection and return above 0.00456. Context is also important and should be considered, especially since cryptocurrencies show the highest correlation of any market. In the lower right graph we see Bitcoin in the daily time frame, which is currently breaking out from it's all time high of $57,500. As explained with red lines, a continuation after a daily close happens above is pretty likely. Keep in mind that the only reason you want to buy an Altocin instead on Bitcoin in this case, is if you expect it to go higher percentage wise. Assuming that BTC continues to rise after this breakout, altcoins will rise in a similar way, unless they have a particular setup as is this case. In the upper right graph we see Binance Coin against the US dollar, which is currently in an area with a confluence of two types of support: 1. Horizontal Support at $255 derived from the highest daily close of the first of March. 2. Trendline support from extending the broken triangle formation. With this in mind and considering the three relevant graphs, I believe that Binance Coin will rise against Bitcoin in a way similar to the last Leg Up of more than 200%. Not only that, but I also believe that Bitcoin wil rise as well, compounding the efect of your gains against the US Dollar. I believe that it will also happen in a more predictable way, allowing traders to use much larger positions without risking a larger amount by having a stop so defined and so close to the entry. 🟠 ENTRY (0.00457) For this swing trade it does not matter much if we place the entry right in the highest weekly close of 2019. Price is currently just where we want it to be, so in my case I will enter with a market order at the current 0.00457 price. 🟠 STOP LOSS ( 0.003975) As explained on my previous idea, the distance between your entry and your stop loss is what should define your position size, not random numbers or a percentage of your account balance. However, you shouldnt try to place your stop randomly close to your entry either, but at a place where you feel like the price reaching it invalidates the whole setup. In this case I will use 0.003975 as a stop loss, because I think it is far enough apart to withstand a flash crash if it happens, but not so far that it affects my position size too much. Aditionally, any weekly close below the level of support, would also be an early sign for exiting the trade, even if the stop loss hasnt been reached. 🟠 TAKE PROFIT Defining take profits in an all time high is one of the most challenging things in formulating this type of setup, mainly because there are no areas of horizontal resistance that you can plot forward. That is why in my opinion, as long as you know that your probable take profit is at a reasonable distance that meets your R:R tolerance, you can eventually decide based on analyzing market conditions as a whole. Knowing your take profit isnt necessary to calculate position size, which is also why I think it is less important than the price of entry or your stop loss definition. 🟠POSITION SIZE Looking back to that EOS / USD trade, you can see that Position Size is calculated by dividing the risk ammount (What you are willing to loose if this doesn't work) by the distance in percentage from the entry to stop loss. In this case I buy at 0.00457 and my stop loss is 0.003975, which is -13.3% below. Let's do an example with $100 risk ammount. POSITION SIZE = (RISK AMMOUNT) / (DISTANCE TO STOP LOSS) POSITION SIZE = ($100) / (0.133) = $751 This means that with a -13.3% distance to stop loss and a risk ammount of $100, my position size will end up being $751.00. If the ammount you get is bigger than the value of your portafolio, use leverage. :) Thank you very much for your time and for sharing. I'll continue to update this idea as it develops, so feel free to follow me to get notifications on any news. Feel free to post your comments or questions in the comment section. All positive feedback is well recieved.
Long
by JRuiz000
3
How To Trade Bullish Pattern's like ProfessionalJust browsing through my analysis means a lot to me. ➡️ Please follow the analysis very carefully and every detail of the chart means a lot. And always entry depends on many reasons carefully studied Always enter into deals when there are more than 5 reasons combined ----------------------- How To Trade Bullish Pattern's like Professional 🔰 Ascending Triangle 🔰What is Aescending Triangle --------- This Triangle Contain 3 Higher low's & 3 - 2 Same Higher's - and that mean there is Buy Pressure on this area -------- Target will be The Same Distance From B : C - IF This Area 200 PIP Target will be 200 PIP -- Risk : Reward 1 : 2 / 1 : 3 Same Distance from C Point To D Point Stop loss Belwo Down Connected line B - D ---------------------------------------- 🔰 Symmetrical Triangle 🔰 What is Symmetrical Triangle --------- This Triangle Contain 3 Higher low's & 3 - 2 lower high - and that mean there is buy'er & sell fight's in this area - and the winner who will break that Triangle Target will be The Same Distance From B : C - IF This Area 200 PIP Target will be 200 PIP -- Stop loss Belwo Down Connected line B - D Risk : Reward 1 : 2 / 1 : 3 Same Distance from C Point To D Point ---------------------------------------------- 🔰 Triple Bottom Pattern 🔰 WHAT IS A TRIPLE Bottom ? ------------------- The Triple Bottom pattern entails Three low points within a market which signifies an impending Bullish reversal signal . A measured up Volume in price will occur between the Tree Low points, showing some Support at the price Low's Stop loss Below Half Distance From Support to Nick line Risk : Reward 1 : 2 / 1 : 3 Same Distance from Upper line to Lower line ---------------------------------- 🔰 Head & Shoulder Pattern Target Same Distance From Head To Nick --------- If The Distance From Head To Nick is 200 PIP -- So Our Target will be 200 PIP ----------- And Stop loss Will be 32 % Of the 200 PIP Distance --- Or Will be below Down Trend That Connected From Head To Right Shoulder Line Stop loss Below- Down Connected line From Head To Shoulder Risk : Reward 1 : 2 / 1 : 3 Same Distance from head to nick ---------------------------------- 🔰 Down Channel Pattern Target Same Distance From Upper line To lower line ------------- IF The Distance From Upper line To lower line 200 PIP -- So Our Target will be 200 PIP ------ Stop loss will be 32 % of Our Target or near From middle line Of Broken Channel Stop loss Will be Below Broken Channel Lower Line / Near Fro Channel Middle line Risk : Reward 1 : 2 / 1 : 3 Same Distance from Upper line to Lower line ------------------------------------------- 🔰 Cup & Handle Pattern 🔰 What is an ‘ cup and handle’? If you look at the regular cup and handle pattern, there is a distinct ‘u’ shape and downward handle, which is followed by a bullish continuation. If The Distance From Cup To Nick is 200 PIP -- So Our Target will be 200 PIP Stop loss Will be Below Broken Support Near From Handle Risk : Reward 1 : 3 - Same Distance From Cup to nick ----------------------------------- 🔰 Bearish Flag Pattern 🔰 The Bull flag formation is ------------ underlined from an initial strong directional move Up , followed by a consolidation channel in an upwards Target Will be same Distance From Upper line of flag to lower line Stop loss Bellow Flag middle line ( Channel ) Risk : Reward 1 : 2 / 1 : 3 Same Distance from flag Upper line to Lower line ------------------------------------------ 🔰 Double Bottom Pattern 🔰 WHAT IS A DOUBLE Bottom ? ------------------- The double Bottom pattern entails two low points within a market which signifies an impending Bullish reversal signal. A measured up Volume in price will occur between the two Low points, showing some Support at the price Low's Stop loss Below Half Distance From Support to Nick line Risk : Reward 1 : 2 / 1 : 3 Same Distance from Upper line to Lower line ------------------------------------------- 🔰 Bullish Rectangle Pattern 🔰 4. Bullish Rectangle ------------- The Bullish rectangle pattern characterizes a pause in trend whereby price moves sideways between a parallel support and resistance zone. Then Break Out to Target Higher level' Stop loss Will be Blow Broken Rectangle or Near to Middle line Risk : Reward 1 : 3 - Same Distance From Rectangle Support to Resistance
BITSTAMP:BTCUSDEducation
by GoldenEngine
6
10-Year Notes Auction Result Is Pointing Toward Market StabilityTuesday's 3-year notes auction, Wednesday's 10-year notes auction, and Thursday's 30-year bond sale are 3 of the most closely watched auction that will be happening this week due to the recent focus on bond yields which have been a key driver of stock movements. We saw that on Tuesday, the $58 billion auction in 3-year notes was well-received, attracting demand that is well above average. This can be seen from the bid-to-cover ratio, which acts as an indicator of demand, where we saw a ratio of 2.69 for Tuesday's auction, which is stronger than both the 2.39 ratio we saw in February as well as the average ratio of 2.40. This temporarily eased the fear of an uncontrollable rise of velocity in the surge of bond yields. I believe today's $38 billion auction in 10-year notes has helped to further calm such uncertainty. Following today's auction, the Treasury sold $38 billion in 10-year notes at a yield of 1.523%, with bidders seeking $2.38 for every $1 on offer from the government. This means that the bid-to-cover ratio stand at 2.38, which is nearly on par with last month's 10-year notes auction ratio of 2.37, but lower than the average taken from the last 10 previous 10-year notes auction ratio of 2.42. While this does not indicate above average demand like what happened yesterday with the 3-year notes auction, it does shows that today's auction has demand that is consistent with recent auctions. This is a good thing because one of the things that market participants are fearful for is unpredictability and instability caused by more weak auctions that are not within expectations like what we saw in late February's auction of 7-year notes where an unexpectedly weak auction caused the market to sell-off. As such, given today's average 3-year notes auction that was within expectations in combination with the lower than expected core CPI data that was released earlier today, the fear surrounding the bond market is temporarily put to a halt once again. Tomorrow's $24 billion sale of 30-year bond will be the last straw of the week that could potentially move the market significantly in either direction. Market participants in the stock market should continue paying close attention to the situation surrounding the bond market because I believe that Treasury yields and the result of bond auctions will continue acting as an indicator of the general direction of the broader stock market throughout this week. Invest safe. This is not investment advice so please do your own due diligence! Support this idea with likes and share your thoughts below.
TVC:US10Y
by AntrePoint
2
CHF/JPY - Range opportunityOn the daily chart , the market reached the historical resistance zone and was unable to break through. After the rejection, the market reached a support zone and then got stuck in a range. In the range, we can see the formation of a double bottom with the possibility of an upward movement to retest the historical resistance area . If you like ideas like this, please like and subscribe to this channel so as not to miss another technical analysis . Write your opinion about it in the comments. I would like to discuss this with anyone. This is NOT a FINANCIAL ADVICE . This is just my point of view on the current situation.
Long
by GetSet
DOT/USDT - Confirmed BreakoutIn the 4 hours chart , we see a bullish trend line, and the resistance zone of the highest peaks in the market has formed an ascending triangle. This triangle has been successfully brokenand retested as a new strong support zone that has been rejected upwards. Once confirmed, a strong bullish trend towards the previous highest peak in the market can be expected. A bullish W-formation has formed on the daily chart , which could possibly be overextended. If you like ideas like this, please like and subscribe to this channel so as not to miss another technical analysis . Write your opinion about it in the comments. I would like to discuss this with anyone. This is NOT a FINANCIAL ADVICE. This is just my point of view on the current situation.
Long
by GetSet
Inflation Concerns Eases Amid Lower Than Expected Core CPI DataAmid rising concerns on inflation, today's release of Consumer Price Index (CPI) data for February is among the most anticipated event of the month. The CPI acts as a gauge for inflation, where it measures the average change in prices over time that consumers pay for a basket of goods and services. The CPI data vs Analysts' estimates is as follows, CPI: 0.4% vs Expected 0.4% CPI YoY: 1.7% vs Expected 1.7% Core CPI: 0.1% vs Expected 0.2% Core CPI YoY: 1.3% vs Expected 1.4% Note that Core CPI excludes the volatile food and energy prices, while CPI is an all items index. Considering the above CPI data that is relatively tamed, we can expect the market's concern about a spike in inflation to be eased for the time being. We also saw the 10-year Treasury yields sliding lower, and an upward push in the stocks pre-market in reaction to a positive miss in the Core CPI data. As such, I expect the broader stock market to stay relatively green today, at least until the $58 billion auction in 10-year notes that will happen later today, which may provide further indication on where Treasury yields may be headed going forward. Thus, market participants in the stock market should continue paying close attention to the situation surrounding the bond market as it will help provide you with insights on what you can expect for the day's movement. Invest safe. This is not investment advice so please do your own due diligence! Support this idea with likes and share your thoughts below.
TVC:US10Y
by AntrePoint
Today's 3-Year Notes Auction Is Why The Stock Market ReboundedAfter experiencing a sharp spike in the 10-year Treasury yield last month due to an unexpectedly weak demand of a US$62 billion 7-year notes auction, today marked the start of a crucial bond auction week that will test the condition of the bond market. This week's schedule is as follows, Tuesday: $58 billion auction in 3-year notes Wednesday: $38 billion auction in 10-year notes Thursday: $24 billion sale of 30-year bond Following today's auction, the Treasury sold $58 billion in 3-year notes at an auction-high yield of 0.335%, with bidders seeking $2.69 for every $1 on offer from the government. According to the bid-to-cover ratio, which acts as an indicator of demand, the ratio stands at 2.69, which is stronger than both the 2.39 ratio we saw in February as well as the average ratio of 2.40, indicating that the bond auction was well-received compared to what was expected. As a result, lingering fear of an uncontrollable rise in velocity of the surge in Treasury yields was temporarily put to a halt today. This caused the 10-year Treasury yield to drop by 4.46% today, and resulted in a rebound in the U.S. stock market, with S&P 500 up by 1.42%, NASDAQ up by 3.69%, and DJIA up by 0.10%. I expect Treasury yields and the result of the aforementioned bond auctions to continue acting as an indicator of the general direction of the broader stock market throughout this week. Market participants in the stock market should continue paying close attention to the situation surrounding the bond market as it will help provide you with insights on what you can expect for the day's movement. Invest safe. This is not investment advice so please do your own due diligence! Support this idea with likes and share your thoughts below.
TVC:US10Y
by AntrePoint
4
USD/JPY - Resistance reached. What's next?In the 4 hours chart, we can see that USD/JPY has reached a resistence level that has been rejected. There are two possible scenarios: First: The market will build a support structure at one of support levels and retest strong resistence with a possible breakout. Than, establishment of a new strong support zone and continued upward movement. Second: The market will not be able to stop the bearish movement at one of the support levels and will make a deeper rejection until a strong support zone is reached. If you like such ideas, please leave a like and follow this channel so you don't miss another analysis. This is NOT a FINANCIAL ADVICE. This is just my point of view on the current situation.
by GetSet
ADA made W Bullish Formation UP TO 2$On the 4 hours chart, ADA has formed a bullish W shape that has broken through the resistance level. After that ADA re-tested the previous resistance, now a support zone with rejection and possible upward continuation. This was caused by the breakout of the BTC bull flag formation. 1 TARGET: 1.485$ (highest peak) 2 TARGET: 1.675$ 3 TARGET: 2$ If you like such ideas, please leave a like and follow this channel so you don't miss another analysis. This is NOT a FINANCIAL ADVICE. This is just my point of view on the current situation.
BINANCE:ADAUSD.PLong
by GetSet
4
The Basic properties of BONDSA bond is a contractual agreement between an issuer and the bondholder. Owning a bond is like enjoying a stream of future cash flows. There are several important features that every bondholder must know before acquiring them: • The bond properties – issuer, maturity, principal, coupon rate and frequency, and the currency in which they are denominated. These properties are determinants of the investor’s expected and actual returns. • The tax and legal framework that applies to the contract between issuer and bondholder • The contingency provisions that affect the bond’s scheduled cash flows. In this article, we will focus on the bond properties and go through them one by one. Issuer Many entities can issue bonds. Usually, bond issuers are classified into categories based on their characteristics: 1. International organizations: World Bank etc. 2. Sovereign governments: The Unites States of America, The United Kingdom, Japan, Germany, etc. 3. Local governments: states, regions, counties 4. Companies: corporate issuers 5. Specialized legal entities Bondholders are exposed to credit risk , that is the risk of loss resulting from the issuer failing to pay the interest and/or repayment of principal. The issuer’s creditworthiness is rated by credit rating agencies . Maturity The maturity date of a bond refers to the date on which the issuer is obligated to pay the outstanding principal amount . A bond’s term of maturity is the length of time in which the bondholder will receive the interest payments on the principal. One notable exception is the perpetual bond , which is a fixed income security with no maturity date. Principal amount The principal amount of a bond is the amount the issuer agrees to pay the bondholder once the bond reaches maturity. The amount is also referred to as par value or nominal value . Bond prices are traded and quoted as a percentage of the principal amount. For example, if a bond’s par value is $100, a quote of 98 means that the price of the bond is worth $98. If the bond is trading below the par value it is said that it is trading at a discount . If the bond is traded above the par value it is said that it's trading at a premium . Coupon rate and frequency The coupon rate of a bond is the interest rate that the issuer agrees to pay each year to the bondholder until it reaches the maturity date. The annual sum paid is called the coupon . For example, a bond with a coupon rate of 3% and a par value of $10000 will pay an annual interest of $300. A conventional bond pays a fixed income rate. However, there are bonds that pay a floating rate of interest; these bonds are called floating-rate notes . All bonds make periodic coupon payments except for zero-coupon bonds , which trade at a discount of their par value and pay zero annual interest. Currency denomination Bonds can be issued in any currency although the largest number of bond issues are made in US dollars or euros. The currency of issue may affect the attractiveness of the bond, that’s why issuers from many countries in the world choose these 2 currencies to attract international investors and offset the disadvantages of their local currencies. Trade with care. If you like our content, please feel free to support our page with a like , comment & subscribe for future educational ideas and trading setups.
TVC:US10YEducation
by financialflagship
77
Elliott Waves TheoryEverytime we refer on Elliott Waves theory in our ideas. So let's have a short explanation about what this is today. Elliott Wave Theory is named after Ralph Nelson Elliott (28 July 1871 – 15 January 1948). He was an American accountant and author. Inspired by the Dow Theory and by observations found throughout nature, Elliott concluded that the movement of the stock market could be predicted by observing and identifying a repetitive pattern of waves. _________________________________________ In Elliott’s model, market prices alternate between an impulsive, or motive phase, and a corrective phase on all time scales of trend. Impulses are always subdivided into a set of 5 lower-degree waves, alternating again between motive and corrective character, so that waves 1, 3, and 5 are impulses, and waves 2 and 4 are smaller retraces of waves 1 and 3. In Figure 1, wave 1, 3 and 5 are motive waves and they are subdivided into 5 smaller degree impulses labelled as ((i)), ((ii)), ((iii)), ((iv)), and ((v)). Wave 2 and 4 are corrective waves and they are subdivided into 3 smaller degree waves labelled as ((a)), ((b)), and ((c)). The 5 waves move in wave 1, 2, 3, 4, and 5 make up a larger degree motive wave (1) Corrective waves subdivide into 3 smaller-degree waves, denoted as ABC. Corrective waves start with a five-wave counter-trend impulse (wave A), a retrace (wave B), and another impulse (wave C). The 3 waves A, B, and C make up a larger degree corrective wave (2) In a bear market the dominant trend is downward, so the pattern is reversed—five waves down and three up _________________________________________ Always remember: "we don't predict, we react".
NASDAQ:AAPLEducation
by Berzerk_invest
4
Will ETH hit 2000 again?On the 4 hour we can see that all candles are moving higher, which means that there is still strong bullish trend. The price was squeezed in an ascending triangle, after which price broke through the resistence level. I now believe that there will be a retest of the new support level, which will be rejected, and the price will continue to rise to the next target key level. If you like such ideas, please leave a like and follow this channel so you don't miss another analysis. This is NOT a FINANCIAL ADVICE. This is just my point of view on the current situation.
KRAKEN:ETHUSDLong
by GetSet
CHF/JPY ANALYSIS DAILYWelcome to GODAL TRADING analysis . Todays pair being analysed is CHF/JPY with a potential long set up forming. ONLY !! if a break-out of the identified bearish/falling wedge and highlighted zone takes place. The highlighted zone represents most recent resistant level/zone of the falling wedge, once the two is broken. It will then become a support zone. This is where I would wait for price action to test this level as support for potential long entries on lower time frames such as 4Hour.
by UnknownUnicorn18142411
3
Is BTC still BULLISH?In this analysis of BTC , we see that the market is currently stuck in a range, but with the perspective of a future breakout of the level with contination of growth. You can see that the market breaks through these levels one by one , which signals a strong bullish trend . If you like such ideas, please leave a like and follow this channel so you don't miss another analysis. This is NOT a FINANCIAL RECOMMENDATION. This is just my point of view on the current situation.
BITSTAMP:BTCUSDLong
by GetSet
3
Bullish Candlestick's Patterns You Must Know🗒 Just browsing through my analysis means a lot to me. ➡️ Please follow the analysis very carefully and every detail of the chart means a lot. And always entry depends on many reasons carefully studied Always enter into deals when there are more than 5 reasons combined ------------ Bullish Exhaustion Bar ➕A bullish exhaustion bar ---------- opens with a gap down. Then, it works its way up to close near its top In This case, the gap remains unfilled. In addition, high volume should occur with the exhaustion bar. What does it mean? Its name explains it all. It represents exhaustion and a failed lastditch attempt. After the bears are exhausted, the bulls will takeover and the market will rise. After the bulls are exhausted, the bears will take the market down. How do we trade it? 1. Buy above a bullish exhaustion bar ---------------------- ➕Bullish Pin Bar ----- It looks like the nose of Pinocchio. It has a long and obvious tail. For bullish pin bars, the lower tail take up most of the bar. For bearish pin bars, it is the upper tail that dominates. What does it mean? Paraphrasing Martin Pring, the pin bar lies like Pinocchio. With its long tail, a pin bar breaks a support or resistance momentarily to trick traders into entering the wrong direction. These traders are trapped, and there is always money to be made when you find trapped traders. ------------- ➕Bullish Reversal Bar --------- A bullish reversal bar ------ pattern goes below the low of the previousbar before closing higher. What does it mean? For the bullish pattern , the market found support below the low of the previous bar. Not only that, the support was strong enough topush the bar to close higher than the previous bar. This is the first sign of a possible bullish reversal. How do we trade it? 1. Buy above the bullish reversal bar in a uptrend --------------- ➕ Bullish Two-Bar Reversal ----------- The two-bar reversal pattern ------------- is made up of two strong bars closing in opposite direction. The bullish variant consists of a strong bearish bar followed by a bullish bar. Reverse the order to get its bearish counterpart. ------------- What does it mean? Every reversal pattern works on the same premise. A clear rejection of a down thrust is a bullish reversal, and a clear rejection of an up thrust is a bearish reversal. In this case, the first bar represents the first thrust, and the second bar represents its rejection. How do we trade it? 1. For bullish reversals, buy above the highest point of the twobar pattern -------- ➕ Key Reversal Bar ------- A key reversal bar --------- is a specific instance of a reversal bar that shows clearer signs of a reversal. A bullish key reversal bar opens below the low of the previous bar and closes above its high. By definition, key reversal bars open with a price gap. As price gaps within intraday time-frames are rare, most key reversal bars are found in the daily and above time frames. How do we trade it? ----------- 1. Buy above a bullish key reversal bar (If uncertain, wait for price to close above it before buying.) ----------- ➕Bullish 3 Bar's Reversal ------ In sequence, the three bars of the bullish pattern are: ----------- 1. A bearish bar 2. A bar has a lower high and lower low 3. A bullish bar with a higher low and closes above the high of the second bar What does it mean? -------------- A three-bar reversal pattern shows a turning point. Compared to the other reversal patterns, the three-bar reversal pattern is the most 10 Price Action Bar Patterns You Must Know conservative one as it extends over three bars, using the third bar to confirm that the market has changed its direction. How do we trade it? 1. Buy above the last bar of the bullish pattern
Education
by GoldenEngine
16