Rising wedge

Rising wedge reversal pattern. We have this rising wedge pattern forming pretty close to a resistance area. As we always say, consider where the price is at, consider what the market can possibly do, select the outcome with the highest probability. In this case with the reversal pattern at or near a resistance, we will consider a Sell trade as the high probability setup if the pattern is confirmed. If pattern is not confirmed we will take it that the trend will continue higher and follow with a Buy trade. Two options will be use to track the price higher, first one will be with a trendline and a stop following below up trendline, or second Fibonacci projection levels.

This is for educational purposes only and should not be consider as trading or investing advice.

Happy trading

Yorum:

Pattern was not confirmed and the price moved higher, creating an all time high before pulling back. We will start looking for more evidence that the Bears plan to take control, like lower lows and lower highs, however we need confirmation before we will change our bullish bias.