3 Triangle Patterns: All You Need To Know About These Triangles As A Trader
November 01 2022 - 7:56PM
NEWSBTC
What separates the advanced and novice traders during a bear market
is the application of different strategies, preciseness, use of the
common 3 triangle patterns, and managing trade to have a proper
edge against other crypto traders. Trading without the proper
skills, such as market structures of the crypto market and
implementing your strategy, is akin to exposing yourself to risk,
which could cost you your life, but in this case, your trading
portfolio. There is so much more involved in trading in the crypto
space other than buying and selling based on the feeling that this
is the best time to buy or sell an asset. Understanding the market
is in phases or cycles gives the trader, investors, and
institutions an advantage to trade with the necessary edge and the
technical tools needed to produce a great return on investment
(ROI) over time. Let’s look at how most traders, investors, and
institutions take advantage of 3 triangle patterns, especially in
this bear market, to make profitable gains and stay ahead of the
market and other traders. Related Reading: Memecoin Cult
Continues: Dogecoin And Shiba Inu In The Lead What Is Triangle
Pattern The triangle pattern is a technical analysis chart
formation used by traders to spot bullish continuations or
reversals based on the market condition. This pattern comprises
candlesticks formation enclosed in converging trendlines known as
support and resistant lines. The two converging trendlines form a
triangle, hence the pattern formation name. These patterns are so
useful to spot a bullish or bearish continuation of prices, and due
to their high probability success rate, most traders use them
during their trading. There are 3 common types of triangle patterns
ascending, descending, and symmetrical triangle patterns; let us
discuss them with the help of the chart. 3 Triangle Patterns –
Ascending Triangles the ascending triangle is formed when there is
a top acting as the resistance followed by an up-sloping bottom
called the support. When the horizontal resistance line meets with
the up-sloping support at the apex of the prices, there is a
formation of an ascending triangle. Prices can breakout in either
direction; this could be a breakout above the horizontal resistance
or a breakdown below the up-sloping support leading to a bearish
downtrend. Descending Triangle This triangle is mostly seen
in the case of the downtrend in price as the squeeze into a
triangle. This triangle is made up of lower horizontal support and
a falling trendline top that converges with the horizontal support
to form this pattern. Price can breakout in either direction
leading to a bearish or bullish market, but in most cases, prices
break to the upside of this triangle. 3 Triangle Patterns –
Symmetrical Triangle Symmetrical triangles are price formations in
which support and resistance lines slant and converge on one
another. The resistance line descends from the top, while the
support line ascends from the bottom. Identifying the 3 triangle
patterns in crypto will help you make a good and better judgment
regarding trading and investment in crypto assets.
Disclaimer: The following op-ed represents the author’s views
and may not necessarily reflect the views of Bitcoinist. Bitcoinist
is an advocate of creative and financial freedom alike. Related
Reading: Bitcoin Price At Risk Of Further Squeeze, BTC Bulls Defend
$20,000 Featured Image From zipmex, Charts From Tradingview
SHIBA INU (COIN:SHIBUSD)
Historical Stock Chart
From Jun 2024 to Jul 2024
SHIBA INU (COIN:SHIBUSD)
Historical Stock Chart
From Jul 2023 to Jul 2024