FTM (Fantom): Falling Wedge

Trade setup: Price is in a downtrend. However, it's trading in a Falling Wedge pattern, which typically resolves in a bullish breakout and a trend reversal. We wait for such a breakout, ideally above $0.50 resistance, with +20% upside potential to $0.60 thereafter. Learn to trade key levels in Lesson 7.

Patterns: Falling Wedge Usually results in a bullish breakout. When price breaks the upper trend line the price is expected to trend higher. Emerging patterns (before a breakout occurs) can be traded by swing traders between the convergence lines; however, most traders should wait for a completed pattern with a breakout and then place a BUY order. Learn to trade chart patterns in Lesson 8.

Trend: Short-term trend is Down, Medium-term trend is Strong Down and Long-term trend is Strong Down.

Momentum: Price is neither overbought nor oversold currently, based on RSI-14 levels (RSI > 30 and RSI < 70).

Support and Resistance: Nearest Support Zone is $0.40, then $0.30. Nearest Resistance Zone is $0.62, then $0.80.