Downloading...
Download

Symetrical

Symmetrical triangle pattern: definition & interpretationWhat is a Symmetrical Triangle? Triangle patterns are probably the most popular chart patterns studied by traders. There are three different types of triangles: The ascending triangle, the descending triangle, and the symmetrical triangle. Symmetrical triangles occur when price is consolidating in a way that generates two converging trend lines with similar slopes. It is called "horizontal" because it forms a holding pattern with around 90 bars in which the price moves sideways. The symmetrical triangle usually forms during a trend as a continuation pattern. They tend to break in the direction of the initial move before the triangle formed. But it can be a powerful reversal pattern, in the event of failure. As the market continues to trade in a sideways pattern, the range of trading narrows and the apex of the triangle is formed. The apex of the triangle is a place where supply and demand intersects. The more price approaches the apex, the bigger the chance of a breakout. The pattern will be completed after the breakout (in either direction) A breakout or failure of a triangle pattern, especially on large volume, can be a strong signal of a resumption, or reversal, of the previous trend. Interpretation of the Symmetrical Triangle Pattern Symmetrical triangles, are thought of as continuation patterns developed in markets that are, for the most part, aimless in direction. This Pattern reveals that the market is very unsure about what is going on. Investors do not know what position to take. The triangle pattern shows losing interest, both from the buy-side as well as the sell-side. During this period of indecision, the highs and the lows seem to come together at the apex of the triangle with virtually no significant volume. The supply and demand seem to be one and the same. A symmetrical triangle pattern is the result of the contraction of volatility in the market. In other words, volatility is constantly decreasing. In essence, the symmetrical triangle represents a period of consolidation where traders find a chance to take a breath before the price is forced to break out. Construction of the Pattern • Support Trendline In technical analysis, support is defined as the price floor where a downtrend can be expected to pause. A trendline that connects a series of lows over a period of time is defined as a support trendline. Think of the lower trendline, as the demand line, which represents support on the chart. At this point, the buyers outpace the sellers, and the price begins to rise. • Resistance Trendline A resistance trendline is a downtrend line that connects a series of highs together. • Triangle’s Height The height is the distance between the initial high and low of the triangle pattern. This parameter is commonly used as a breakout target for the symmetrical triangle pattern. • Apex of the Triangle The apex of a triangle is the intersection point of the support and resistance trendline. Pros & Cons of Trading Symmetrical Triangle Pattern • Pros ▹Symmetrical triangles can form in any time frame. ▹These patterns are a sign of an impending breakout. Once the pattern is completed, we will probably have an explosive price movement. ▹A symmetrical triangle is a reliable continuation pattern, so the direction of the breakout can be guessed, based on the prior trend direction. • Cons ▹False breaks are common with symmetrical triangle patterns and can lead to significant losses. ▹Compared to other chart patterns, triangles take longer to develop and become identifiable. The Bottom Line The triangle pattern is one of the most common and popular chart patterns in technical analysis. A better understanding of this pattern and the reasons why it appears on the chart can help us better understand market behavior and identify trading opportunities.
Education
by BobRivera990
2
CADJPY 79.311 +0.08 LONG IDEAGood Day Everyone Here's a long idea on the CADJPY pair from the 4H chart looking for continuation to the upside as we just broke out of a descending channel pushed up now consolidating inside a symmetrical triangle structure looking for a break above the structure which will signal continuation to the upside. Good luck and happy trading everyone _________________________________________________________________________________________________________________________ ENTRY & SL - FOLLOW YOUR RULES RISK-MANAGEMENT PERIOD - SWING TRADE TARGET - 80.042 __________________________________________________________________________________________________________________________ If you like the idea kindly leave a like and a follow will definitely follow back and leave your idea & Comment on the pair in the comment section. APPRECIATE IT
Long
by PULEMokhothu
BTC-USD 5/30/2020 swing trading idea. On the higher time frames, it looks like BTC is trying to make a triangle formation, you can see it both as a symmetrical triangle or an ascending triangle with a horizontal resistance around 10k. symmetrical triangles are a pattern of indecision, they have 50 50% chance to break to either side. so its always better to wait for the break out first before entering a trade. however, considering the recent strong bullish trend in BTC and general strengths in the crypto market there is more chance for the formation to break up and act as a continuation pattern. we can see the falling volume pattern as well which suits a triangle consolidation. So, in conclusion, the 10k ish level and 8600 ish are the decision points, if BTC breaks above 10k it can move to 12k ish but if it breaks below 8.6k it can go as low as 6900. there are other support and resistant levels between the 2 measured moves to the upside and downside which we gonna get to them after the break out happens.
COINBASE:BTCUSD
by Trader_Shayan
5
Potential Massive MovementOur Nov. 25th Inverted H&S took us to $7850 Before Forming a new top resistance line for a symmetrical Triangle. Neither Wicks On Dec. 4th broke this Symmetrical formation and we've continued to bound up and down as Volume has tapered off. A Measured Move Break Out Would Take Us North Of The 2019 High Descending Resistance line of our channel if the bulls take control. A Bear Move Would Technically keep us within the channel but exhaustion at that point would more then likely lead to Sub-6k prices. With the Symmetrical Triangle Almost being full and Dec. 9th marking the weekly golden cross, expect this move within 48 hours.
COINBASE:BTCUSDLong
by F0urL34f
FTMBTC - prepairing for bullrunFantom is currently in accumalting phase. In the simulation on the righ site down on the chart is described how the bottom works with triangle. We can see strong downtrend, after that is formed symetrical triangle and then is usualy breakout which can start bullrun. So you can execute a trade now, place stoploss below the support trendline of triangle and wait for the targets. . First target can be the red box, 2nd around 340 sats. and last around 392 sats. . You can see a great long-term opportunity too. So for a long-term trade you can buy now, place stoploss below the last swing low of the triangle and wait for 2nd and 3rd target.
FLong
by HarmonicParadise
1
Channel Down + Triangle Pattern (1day charts)Ethereum has continued in its downward channel, we had a nice bounce off the top of the channel at 128 and then we saw the price drop down and not push through the downward sloping resistance line. We are now currently in a symmetrical triangle that is looking like it will break to the downside. If it does drop to the downside, there is a big possible profit ratio if it comes down to the next biggest resistance at 84, and as much as it's probably being hopeful (I will be short), the next profit target for me would be around 60. Could be a good entry once the triangle pattern breaks to the downside and closes, but as we've seen there has quite often been a move higher before going lower, something to watch out for. Either wait for the drop outside the triangle pattern and open a short position on the retest/bearish candlestick pattern, or wait for the move to the upside and open a short when you see consolidation at the top. Right now ETH is looking bearish, but an early entry could wipe out any profits. *The blue lines with arrows are suggesting 2 possible bearish scenarios. Please leave a comment if you want to have a discussion about this, or if you think I'm wrong!
BITFINEX:ETHUSDShort
by charlesyo