Second of Double Bottom for XRPThe double bottom will be confirmed if the candle for today closes below .25USD cents. Retracing to an almost exact amount the previous hill. The double bottom forming here would indicate a drop to .23-.21USD cents. A 10-20% drop from the current price of .25USD cents.
The triangle drawn is a Thomas Denmark (TD) style triangle(forextraininggroup.com). It connects two relevant highs and two relevant lows in a recent time frame. Both lines follow simple logic, the horizontal line, connecting the two highs, is bearish. It is a bar of resistance. The diagonal line connecting the lows is a bullish line, trending upwards as a support for the price action looking to breakout.
Though simple the TD trend lines are a very useful analysis and can be used well in tandem with other indicators.
In this case The reason for predicting the confirmation of the second peak of a double bottom is the resistance shown in the bollinger bands lining up with the bearish, top TD line. Also, the curve of the AO indicates buyer exhaustion around the corner.
These signals in confluence with one another are enough of a reason to believe a small drop in price will occur over the next 2-5 days.
That being said the target buys would be placed between .23-.21USD.
