This might be my last update on WAVES
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I saw something else on the chart, That we are running on SYMMETICAL TRIANGLE
Skip the next paragraph if you know the symmetrical triangle :
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What is a Symmetrical Triangle Pattern?
The Symmetrical Triangle is usually a continuation pattern. It represents a pause in the existing uptrend after which the original uptrend gets resumes. A breakout from the upper trend line marks the continuation of an uptrend while a breakdown from the lower trend line marks the start of a new bearish trend . This pattern is also known as a wedge chart pattern.
How does Symmetrical Triangle Pattern Work?
Phase 1: Existing Uptrend
When there is an extreme demand in prices there is an uptrend. It continued as the demand increases.
Phase 2: Pause
When demand is equal to supply the there is a pause in an uptrend and investors start to book profits here. As prices consolidate it forms converging trend lines . As there is equal demand and supply investors buy on the lower trend line and sell on the upper trend line . Which results in forming a Symmetrical Triangle Pattern .
Phase 3: Uptrend Continuation
After demand matching the supplies when there is when buyers are again interested to buy demand increases. Which results in breakout! And the continuation of the uptrend.
Role of Volume:
Volume plays a major role in a symmetrical triangle pattern . When in an uptrend the volume is quite higher. In the second phase, the volume starts to diminish due to equal demand and supply. And again on the breakout, the volume surges. Volume with Breakout gives a good indication of a successful uptrend.
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For me the chance of breaking of the symm. triangle is always 50% - 50%
but this time I am a little bearish and I will link you a related idea to watch.
I always trade it as it goes.
-
Thumb up for more updates on WAVES
-
I saw something else on the chart, That we are running on SYMMETICAL TRIANGLE
Skip the next paragraph if you know the symmetrical triangle :
-
What is a Symmetrical Triangle Pattern?
The Symmetrical Triangle is usually a continuation pattern. It represents a pause in the existing uptrend after which the original uptrend gets resumes. A breakout from the upper trend line marks the continuation of an uptrend while a breakdown from the lower trend line marks the start of a new bearish trend . This pattern is also known as a wedge chart pattern.
How does Symmetrical Triangle Pattern Work?
Phase 1: Existing Uptrend
When there is an extreme demand in prices there is an uptrend. It continued as the demand increases.
Phase 2: Pause
When demand is equal to supply the there is a pause in an uptrend and investors start to book profits here. As prices consolidate it forms converging trend lines . As there is equal demand and supply investors buy on the lower trend line and sell on the upper trend line . Which results in forming a Symmetrical Triangle Pattern .
Phase 3: Uptrend Continuation
After demand matching the supplies when there is when buyers are again interested to buy demand increases. Which results in breakout! And the continuation of the uptrend.
Role of Volume:
Volume plays a major role in a symmetrical triangle pattern . When in an uptrend the volume is quite higher. In the second phase, the volume starts to diminish due to equal demand and supply. And again on the breakout, the volume surges. Volume with Breakout gives a good indication of a successful uptrend.
-
For me the chance of breaking of the symm. triangle is always 50% - 50%
but this time I am a little bearish and I will link you a related idea to watch.
I always trade it as it goes.
-
Thumb up for more updates on WAVES
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