Bitcoin - USD Daily Falling Wedge Still in Play
FALLING WEDGE (FW)... per Bulkowski's textbook "Encyclopedia of Chart Patterns": A Rare Bullish Consolidation, upon upside breakout, prices usually rise to the top of the formation (88% probability), at a minimum, in this instance a target of about 11800. Failure to meet target is only 10% out of 125 formations studied & is even a lower 2% if price closes more than 5% above the upper trend line. A significant resistance is now the 200 MA, since price has turned back from it five times since March 21st. Moreover, the 200 MA is converging closely with the upper trend line, which itself has rebuffed advancing price five times. A simultaneous bullish move through both these resistances would be interesting.
Since the Falling Wedge is well defined now, I also explored the possibility of using Awesome Oscillator for identifying swing trades within the formation. Secondary swing trend lines can also be useful for confirmation.
Since the Falling Wedge is well defined now, I also explored the possibility of using Awesome Oscillator for identifying swing trades within the formation. Secondary swing trend lines can also be useful for confirmation.
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