Today presents an interesting situation with the triangle that is forming. Granted, there have been large volume spikes and market volatility which makes the actual ABDCE count hard, but I think it is still there. The two primary options are either be a bullish reversal triangle triggering a movement upwards or a contracting triangle with a large move downwards.
I am leading towards the downward direction at this time with a short position active. Be careful to manage positions well if you are playing this market. Anything can happen with a push in either direction.
Which triangle do you think it is or is it even a triangle? Is something else is forming? Let me know in the comments!
Time Frames With Indicators: 1-2 hour: RSI is stuck in the middle range. STOCH is showing bullish signs with price action. MACD was riding above the histogram for sometime and has room to move down.
4-12 hour: Bearish signs are there noting recent lack of volumes, price action, and strength because of the recent downturn and lack of movement last night.
I am a simple market analyst - not a financial analyst fortis Fortuna adiuvat - fortune favors the brave
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This candle is currently falling out of the triangle. Let's see if it closes lower leading to a 2 hour EMA breakdown. This is an interesting development.
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Update for 12/17/2019: Symmetrical triangle indeed! Short positions up are around +10% as of today. Now there is buffer room to wait. We are now facing the double bottom situation from the historical support in the 6.2K region from Sept-Oct 2018. Keep in mind that this support was already tested once and grows weaker with every bounce. If this doesn't hold (this time or next bounce), it is a long way down.
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Things to watch: 3 Day time frame RSI.
I've been watching this triple bottom forming at the 35 level. We did fall a little bit below it today which is a weaker sign. Bounce within 3 days? Only the market knows while the world watches. I am not betting too hard on it though as no volume would keep bouncing lower. We haven't seen oversold 3 Day RSI since December 15, 2018 - almost 1 YTD as it so happens.