q) Is it reliable to reach a conclusion based on the data coming from these charts?
a) You can reach any conclusions you want by reading or not reading a chart.
a) These tools are very useful and they can definitely help you with your trading and also to improve your trading results.
a) Reliability will depend on your long-term results. If you develop a system and you use it, testing it first, it can be reliable if you get the results that you were looking for.
a) If the results are no good, then you shouldn't rely on it.
Trading and reading charts are still separate though and chart reading should only be complementary to your trading and not your trading strategy.
The chart reading is only a part of it.
You should never take any action based on what you read here.
It is better to build a plan and trade based on your own plan.
You can use the charts to support whatever strategy you built based on your own research.
The charts can be used for learning, entertainment, fun and so on.
Now, Cardano (ADAUSD) has been leading the pack.
We have the same pattern on the drop as ETHUSD and BTCUSD... See the chart below:
Can you see it?
Moving below and then back above MA200 with good strength...
ADA has been leading the pack, if Bitcoin follows, it can do the same...
Do your own research. This is not financial advice.
I hope you enjoyed this article on this beautiful Saturday.
I have also noticed that alts in general not just Cardano bounced back strong after the BTCUSD dump. I don't think I remember seeing such a behaviour before.