hi guys,
So my ascending triangle play is in action. (PLEASE SEE BELOW FOR LINK TO THAT) My opinion on the price action is that we are still going towards the neon green line which i believe to be heavy resistance as shown if you look left on previous higher high.
I believe before we can move past the Green Neon resistance / target zone we need to:
1. Fill gap that i circled
2. Test support on previous resistance red line
3. Cool down alittle from overbought situ shown on RSI and STOCH Rsi
Thinks to look for:
1. This could still be a false breakout, so its really really important to see if it keeps support above the resistance line around the $55 level
2. If it keeps support watch if it stays range bound between red resistance line and green neon line. Some more touch points may be necessary before a move up or down depending on momentum/trend
3. Pay attention to STOCH its crucial at which end its at. During moves to the upside you'd want the stoch crossing up over the 20 level for example.
Lines of Defence:
Notice ive added 50SMA, notice it trending upwards towards resistance line. This SMA acts as support on the bullish case so watch it as well. If it comes towards the red resistance line at $55, its okay to assume it will act as support.
Notice the yellow trend line. It can act as support as well
Notice the .718 fib level, which can also act as support, provided we break down. In this scenario we;d have to observe carefully. If the Fib level can't hold support, it would be a corrective pullback.
Notice red trend line below the yellow one. This is the ascending triangle support trend line. If its a false breakout, it can retest this line.
My strategy is selling at this neon green line. Then observing the price action. If it plays out by testing the $55 level , i will wait for confirmation of support and buy at this level. I will also watch, if it breaks out past the green neon line, i will play it as an ascending triangle, wait for confirmation of a candle close above green line and buy for my second and final target at $75 or dark green line.
Please comment with your ideas, advice and anything else! Thank you and goodluck! If you like my ideas please like and follow! I Lets grow together~!
PS: Ive linked the ascending triangle play below which is in play as we speak.
So my ascending triangle play is in action. (PLEASE SEE BELOW FOR LINK TO THAT) My opinion on the price action is that we are still going towards the neon green line which i believe to be heavy resistance as shown if you look left on previous higher high.
I believe before we can move past the Green Neon resistance / target zone we need to:
1. Fill gap that i circled
2. Test support on previous resistance red line
3. Cool down alittle from overbought situ shown on RSI and STOCH Rsi
Thinks to look for:
1. This could still be a false breakout, so its really really important to see if it keeps support above the resistance line around the $55 level
2. If it keeps support watch if it stays range bound between red resistance line and green neon line. Some more touch points may be necessary before a move up or down depending on momentum/trend
3. Pay attention to STOCH its crucial at which end its at. During moves to the upside you'd want the stoch crossing up over the 20 level for example.
Lines of Defence:
Notice ive added 50SMA, notice it trending upwards towards resistance line. This SMA acts as support on the bullish case so watch it as well. If it comes towards the red resistance line at $55, its okay to assume it will act as support.
Notice the yellow trend line. It can act as support as well
Notice the .718 fib level, which can also act as support, provided we break down. In this scenario we;d have to observe carefully. If the Fib level can't hold support, it would be a corrective pullback.
Notice red trend line below the yellow one. This is the ascending triangle support trend line. If its a false breakout, it can retest this line.
My strategy is selling at this neon green line. Then observing the price action. If it plays out by testing the $55 level , i will wait for confirmation of support and buy at this level. I will also watch, if it breaks out past the green neon line, i will play it as an ascending triangle, wait for confirmation of a candle close above green line and buy for my second and final target at $75 or dark green line.
Please comment with your ideas, advice and anything else! Thank you and goodluck! If you like my ideas please like and follow! I Lets grow together~!
PS: Ive linked the ascending triangle play below which is in play as we speak.
