Did you know this market geometry, symmetry:
When a (strong) trendline is broken, the market will fall equal distance or more from the trendline as from the peak to the breakpoint. I have shown example of Nasdaq from the past.
This is also true for the reverse, a falling trendline break can predict the upside target
Hope this is useful in your trading
What it means is you might see a small upside from here, but since its already broken the trendline, it will trap the buyers and then do a hard U turn to the downside. I would wait for a bullish pattern to develop before going in long. Be careful of traps!
When a (strong) trendline is broken, the market will fall equal distance or more from the trendline as from the peak to the breakpoint. I have shown example of Nasdaq from the past.
This is also true for the reverse, a falling trendline break can predict the upside target
Hope this is useful in your trading
What it means is you might see a small upside from here, but since its already broken the trendline, it will trap the buyers and then do a hard U turn to the downside. I would wait for a bullish pattern to develop before going in long. Be careful of traps!
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.