12/12/24 - Here is a new SELL breakout chosen by a completely ru12/12/24 - Here is a new SELL breakout chosen by a completely rules based, mechanical trading system:
Stop Loss @ 118.41
Entry SELL @ 112.80
Target Profit @ 97.57
Double Top or Bottom
Samsung to move lower, confirm double top and break channel?Bearish for Samsung
Possible double top in place
Also implies that USDKRW would move higher as Samsung fails hence Samsung is mostly the KRW currency.
As global equity indices roll over in 2025 this could move lower
BTC/USD Trading Analysis – Double Bottom & Rising Wedge BreakoutThis BTC/USD 4-hour chart showcases a potential bullish breakout setup based on technical patterns, key support and resistance levels, and price action analysis. The chart suggests a trend reversal following a downtrend, with signs of bullish momentum building up.
Let's break down the full technical analysis, covering the chart structure, key levels, price patterns, and trading strategy.
1. Market Structure & Identified Patterns
A. Double Bottom Reversal – Strong Bullish Signal
A double bottom pattern has formed, which is a bullish reversal signal that indicates the end of a downtrend.
This pattern consists of two significant low points (Bottom 1 and Bottom 2) near the $80,000 - $81,000 support zone.
The pattern confirms strong buying interest at this level, preventing further price drops.
A breakout above the resistance level would confirm the pattern’s validity, signaling a move toward higher targets.
B. Rising Wedge Formation – Potential Bullish Breakout
The price action is consolidating in a rising wedge, forming higher highs and higher lows within a narrowing range.
A rising wedge often suggests a potential breakout.
Since this wedge forms after a double bottom, the breakout is expected to be bullish, rather than a bearish breakdown.
If the price breaks above the wedge’s upper trendline, it will confirm a strong upward momentum.
2. Key Support & Resistance Levels
Support Levels:
Major Support Zone (80,000 – 81,000):
This level has been tested twice, confirming buyer strength.
It serves as the foundation for the double bottom pattern.
Stop Loss Level (72,921):
If the price drops below this level, it would invalidate the bullish setup.
This level is strategically placed to manage risk and protect against potential downturns.
Resistance Levels:
First Resistance Zone (95,000 – 100,000):
This is a critical level, as the price has faced multiple rejections here.
A breakout above this zone would confirm a strong bullish trend continuation.
Take Profit Targets:
TP1 (108,481): The first take-profit target aligns with previous highs and is a logical point for partial profit booking.
TP2 (114,372): This is the second profit target, calculated based on Fibonacci extensions and historical price movements.
3. Trading Strategy & Execution Plan
A. Entry Strategy
To execute a successful trade, we need to wait for confirmation of the breakout.
Ideal Entry: After a strong breakout above 95,000 – 100,000, indicating bullish momentum.
Confirmation Factors:
Increased trading volume → Signals strong buying interest.
Candle close above resistance → Confirms breakout.
Retest of broken resistance as support → Strengthens bullish continuation.
B. Risk Management
Stop Loss Placement: Below 72,921, ensuring limited downside risk.
Risk-to-Reward Ratio: The trade setup aims for a 1:3 or better risk-to-reward ratio.
C. Potential Scenarios
✅ Bullish Breakout:
If BTC breaks and holds above 95,000 – 100,000, we can expect a rally toward 108,481 (TP1) and 114,372 (TP2).
❌ Bearish Rejection:
If BTC fails to break resistance, it could retest 80,000 or drop lower, invalidating the bullish setup.
4. Final Thoughts – What to Expect?
This BTC/USD 4-hour chart analysis provides a high-probability bullish trade setup, supported by:
✅ Double Bottom Formation → Strong Reversal Signal
✅ Rising Wedge Breakout Potential → Momentum Building
✅ Key Resistance Breakout Levels Identified
📌 Conclusion:
If Bitcoin breaks above 95,000 – 100,000, expect a major bullish move toward 108,481 and beyond. However, if resistance holds, we might see a retest of lower support levels. Risk management is essential for a successful trade execution. 🚀
EUR/JPY Chart Analysis - Falling Wedge Target with Bullish SetupThis EUR/JPY 1-hour chart reveals a well-defined falling wedge pattern, which is a bullish reversal formation. Additionally, we see key support and resistance levels, a double bottom, and a breakout potential that traders can use to plan an entry. Let’s dissect this chart in a professional and detailed manner to understand the trade setup and market psychology.
🔹 Market Trend & Structure Analysis
The market was previously in an uptrend, making higher highs and higher lows, until it faced strong resistance at the 163.500 level. Upon reaching this zone, the price reversed downward, forming a series of lower highs and lower lows, which resulted in a falling wedge pattern.
This downward movement was accompanied by a trendline break, signaling a shift in momentum. The price has since reached a strong support level and is showing signs of potential bullish reversal.
🔹 Key Technical Patterns & Indicators
1️⃣ Falling Wedge Pattern (Bullish Reversal Signal)
A falling wedge is a pattern characterized by two downward-sloping trendlines that converge, indicating that selling pressure is weakening. This pattern is considered a bullish signal because:
✔️ The declining price movement shows exhaustion of sellers.
✔️ Volume typically decreases as the wedge forms, indicating a breakout is coming.
✔️ Once price breaks out of the wedge, a strong bullish move often follows.
The key here is to wait for a breakout above the upper trendline, which will confirm the bullish momentum.
2️⃣ Double Bottom Formation at Support (Reversal Confirmation)
The price tested the 160.500 support level twice, forming a double bottom pattern. This is another bullish sign, as it indicates:
✔️ Buyers are actively defending this level.
✔️ There’s strong demand around this price zone.
✔️ If price breaks above the wedge resistance, it could trigger a significant rally.
🔹 Key Support & Resistance Levels
Identifying support and resistance is crucial for defining entry and exit points.
✅ Support Levels:
160.500 – Strong horizontal support (Price tested this twice).
158.982 – Stop-loss level (Below this, the bullish setup is invalid).
✅ Resistance Levels:
163.500 – Major resistance (Previous high and supply zone).
165.090 – Final target (Key breakout level).
If the price successfully breaks out of the wedge, it has room to rise significantly, with 163.500 as the first target and 165.090 as the ultimate goal.
🔹 Trade Setup & Execution Plan
🎯 Bullish Breakout Trade Strategy
Since this setup signals a potential reversal, here’s how traders can execute a high-probability trade:
🔹 Entry Points:
✅ Aggressive Entry: Enter as soon as price breaks above the wedge resistance.
✅ Conservative Entry: Wait for a breakout and a retest of the resistance-turned-support before entering.
🔹 Target Levels:
🎯 First target: 163.500 (Previous resistance level).
🎯 Final target: 165.090 (Major resistance zone).
🔹 Stop-Loss Placement:
❌ Place the stop loss below 158.982, as a break below this level would invalidate the bullish setup.
🔹 Risk-Reward Ratio & Trade Justification
📈 Why This Trade Has a High Potential Reward?
Low-risk, high-reward: The stop loss is tight, while the upside potential is large.
Confluence of bullish signals: Falling wedge + Double bottom + Strong support.
Institutional interest likely: Buyers are stepping in at key levels.
A proper risk-to-reward ratio (RRR) for this trade would be at least 1:3, meaning for every 1% risk, there’s a 3% profit potential. This makes it a great swing trading setup.
🔹 Market Psychology Behind the Setup
The falling wedge represents a market correction after a strong bullish trend.
The double bottom shows that sellers are exhausted and buyers are gaining control.
If price breaks out, many traders will enter, triggering a strong upward rally.
This bullish breakout setup aligns with the smart money concept, where institutions accumulate positions before a big move.
🔹 Final Thoughts & Trade Outlook
This EUR/JPY setup presents a high-probability trade opportunity with a bullish breakout scenario. The combination of:
✅ Falling Wedge Pattern (Bullish reversal)
✅ Double Bottom at Support (Buyers stepping in)
✅ Key Resistance Targets (Clear trade exit points)
…creates a great trading setup.
📌 Trading Plan Summary:
✔️ Buy on breakout above the falling wedge.
✔️ Target 163.500 & 165.090 for profits.
✔️ Stop-loss below 158.982 for risk management.
🚀 If executed correctly, this trade has the potential for strong bullish momentum. Would you like a real-time update once the price confirms the breakout? Let’s keep an eye on this trade! 📊🔥
GOLD TO SILVER RATIO ABOUT TO TOP OUT !!OANDA:XAUXAG The current Gold rush and the weak demand in Retail for Silver, Platinum or even Palladium clearly shows that Gold TVC:GOLD is heading for a double top in the coming two to three months against Silver TVC:SILVER , after which Silver will start having the upper hand and totally outperform Gold (add in Platinum and Palladium as well). This would also perfectly coincide with my editorial Silver prediction to break the $45-50 barrier in 2027 from a year ago:
WLDUSDT: Is This the Last Chance Before a Major Breakdown?Yello Paradisers, are you prepared for what could be a textbook bearish opportunity on WLDUSDT? Because based on current price action and key confluences, this chart is screaming caution — and the next move might be much sharper than most expect.
💎WLDUSDT has broke down from a rising wedge pattern — a classic bearish signal that often leads to aggressive downside continuation. Alongside this, we’ve identified a clear internal Change of Character (I-CHoCH), followed by the formation of Fair Value Gaps (FVGs). These developments alone raise the probability of a bearish continuation, but that’s not all. The price structure is now forming a Head & Shoulders pattern — another strong reversal signal — increasing the bearish bias with multiple layers of confirmation.
💎If WLDUSDT pulls back from its current level and fills the FVG, we will be watching closely for a bearish candlestick pattern right around our defined resistance zone. This level also aligns perfectly with the Fibonacci golden pocket, adding even more weight to the area as a high-probability short entry. Should this setup form, the reward-to-risk (RR) potential becomes extremely favorable, providing an optimal entry for those waiting patiently.
💎On the other hand, for those considering entries from the current level — while the bearish probability still exists — the RR is much less attractive, hovering around 1:1 or even below. That’s not ideal, especially when managing risk like a pro. The probability of a pullback into the resistance area is still high, so it’s far better to wait for price to come to you. Only then will you have the proper setup to ensure a well-managed trade.
💎However, if WLDUSDT breaks above the resistance zone and we get a candle close above it, that would invalidate this bearish scenario entirely. In that case, it’s best to step aside and wait for better price action to develop. No need to force trades when the market is giving mixed signals — patience always pays.
🎖This is the only way you will make it far in your crypto trading journey. Be a PRO
MyCryptoParadise
iFeel the success🌴
Bottom is in! Clear double bottom here, with the third low breaking lower indicating the confirmation of the double bottom. Easy low risk long at this entry.
Also clear sign of big players making entry’s at these prices.
EUR/GBP - Double Bottom Reversal Setup | Trendline BreakoutThis EUR/GBP (Euro to British Pound) daily chart presents a textbook double bottom reversal pattern, signaling a potential trend reversal after a prolonged downtrend. Additionally, a trendline breakout further strengthens the bullish outlook.
The market structure suggests that buyers are regaining control, and a breakout above the neckline resistance zone (0.84500 - 0.85000) could trigger a significant upward move. Let's break down this setup in detail.
📊 Technical Breakdown of the Chart
1️⃣ Double Bottom Formation – A Strong Reversal Signal
🔹 The double bottom is a powerful bullish reversal pattern that forms after an extended downtrend, indicating that selling pressure is fading and buyers are stepping in.
🔹 First Bottom: Established in December 2024, where the price reached a key support level (~0.82453) before bouncing back.
🔹 Second Bottom: Formed in March 2025, confirming the validity of the support level and creating a solid demand zone.
🔹 The neckline resistance (0.84500 - 0.85000) is the key level that price must break to confirm the reversal.
2️⃣ Trendline Breakout – Shift in Market Sentiment
🔹 The market has been in a downtrend, as shown by the descending trendline acting as resistance for several months.
🔹 Recently, the price broke above this trendline, indicating that bearish momentum is weakening and a potential trend reversal is underway.
🔹 This breakout adds confluence to the double bottom pattern, reinforcing the bullish bias.
3️⃣ Key Support & Resistance Levels to Watch
📌 Support Zone (Bottom Area) – 0.82453:
✅ This level has been tested twice (December & March), confirming it as a strong demand zone.
✅ Price consistently rebounded from this level, showing buyers’ dominance.
✅ This is the ideal stop-loss level to protect against downside risks.
📌 Resistance Zone (Neckline) – 0.84500 - 0.85000:
✅ A breakout above this neckline resistance is necessary for a bullish continuation.
✅ If price breaks and retests this level as support, it will confirm a high-probability buy setup.
📌 Target Level – 0.87394 (Projected Move)
✅ This is calculated using the measured move technique, where the distance from the bottom to the neckline is projected upwards.
✅ This level coincides with a previous resistance zone, making it a realistic target.
📈 Trading Strategy – How to Trade This Setup
🎯 Entry Plan for Long Position (Buy Setup)
1️⃣ Breakout Entry:
Enter a long position after a confirmed breakout above 0.85000.
Watch for strong bullish candles with volume confirmation.
2️⃣ Retest Entry (Safer Option):
If price breaks above resistance, wait for a pullback and retest of the 0.84500 - 0.85000 level.
If price holds this zone as new support, it strengthens the bullish confirmation.
📉 Stop-Loss Placement (Risk Management)
✅ Place a stop-loss just below the support zone (0.82453) to protect capital.
✅ This level is strong because price has bounced off it twice, confirming buyer strength.
🎯 Profit Target (Take Profit)
✅ The projected target is 0.87394, aligning with previous resistance.
✅ This offers a high reward-to-risk ratio (RRR), making the trade worth taking.
⚠️ Risk Management & Market Outlook
✅ Bullish Bias – Price action suggests uptrend continuation after breaking out of the trendline.
✅ Confirmation is Crucial! – Enter only after a clear breakout and retest.
✅ Watch for Fakeouts – If price fails to hold above the neckline, it could be a false breakout.
✅ Fundamental Factors – Keep an eye on economic data and central bank policies (ECB & BoE) that may impact the GBP & EUR.
📢 Final Thoughts – Why This Trade is High-Probability
🚀 Double Bottom + Trendline Breakout = Strong Bullish Signal
🚀 Neckline Breakout Above 0.85000 = Confirmation of Trend Reversal
🚀 Targeting 0.87394 with a Favorable Risk-Reward Setup
If price successfully breaks and holds above resistance, we could see a strong rally toward 0.87394 in the coming weeks.
📌 Monitor price action carefully and wait for confirmation before entering the trade.
🔔 Like & Follow for More Trading Setups! 🚀📈
Double Top (EURUSD)The EUR/USD has confirmed a double top, reinforced by a bearish MACD crossover and RSI divergence. The pattern remains valid unless the price moves above 1.09544. The initial downside target is around 1.0690, aligning with the upper part of the 34 EMA wave and sitting just above the 200 EMA. A decline to this level would still preserve the broader bullish trend. However, if this support zone fails, a deeper move toward 1.0535 is likely, signaling a shift in polarity, where previous resistance turns into new support.
USDCHF: Bullish Outlook Explained 🇺🇸🇨🇭
USDCHF looks bullish after a test of the underlined blue support.
The price formed a double bottom on that and broke its neckline
on Friday.
We see a positive bullish reaction to that after its retest.
I think that the market will continue rising and reach
at least 0.885 resistance.
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UAMY Breakout Setup: Strong Earnings, High Volume, and Sector TaUnited States Antimony Corporation UAMY is the only significant U.S.-based producer of antimony, a critical mineral used in flame retardants, batteries, semiconductors, and military applications. The company controls mining, refining, and sales, positioning itself to benefit from growing domestic demand and geopolitical supply risks as China dominates over 80 percent of global supply. With antimony classified as a critical mineral in the U.S., domestic production is gaining strategic importance.
The antimony market faces supply constraints due to Chinese export restrictions, driving prices higher. Demand is increasing for use in energy storage, defense, and industrial applications, supporting a bullish long-term outlook for UAMY.
The stock surged 17.64 percent post-earnings, breaking resistance with 76 million shares traded, well above its 2.1 million average. It has been in an uptrend since late 2024, with RSI nearing 70, indicating strong momentum. Resistance is at 2.10 to 2.35, with a breakout confirming further upside. Support at 1.80 to 1.90 provides a strong risk-reward entry zone.
Entry signals
Breakout entry above 2.35 with high volume confirmation
Pullback entry at 1.80 to 1.90 if support holds
Supporting signals
Sustained high volume above 10 million shares daily
RSI stabilizing above 50 to 60 after a pullback
Consolidation near resistance before a breakout
Take profit targets
2.75 initial target from previous highs
3.50 potential price extension on strong momentum
4.00 plus if antimony prices surge or macro trends strengthen
Stop loss
Breakout entry stop below 2.00
Pullback entry stop below 1.70
What to monitor
Volume retention and price strength to confirm accumulation
Antimony price trends and policy developments on U.S. critical minerals
Institutional buying activity and government support for domestic supply
UAMY presents a strong bullish setup backed by sector tailwinds and increasing demand. A breakout above 2.35 could confirm further upside, while a pullback to 1.80 to 1.90 offers a secondary entry. Traders should watch volume and macro trends for confirmation.
GER40 Breakout Setup! 🔥 GER40 Breakout Setup! 🔥
I'm watching this key resistance level on GER40! 📈 A breakout above could trigger a strong bullish move towards my targets.
🔹 Entry: Waiting for confirmation above trendline
🎯 Targets: TP1 - 23,147.95 | TP2 - 23,341.05 | TP3 - 23,493.75
🛑 Stop-Loss: 22,781.45
Risk management is everything! Let’s see how this trade plays out. Would you take this setup? Drop your thoughts below! 👇
EURUSD 4H SHORTEURUSD 4H SHORT
The pair broke just exited a bullish channel and doing so broke the neckline of a double top, the pair now is doing a pullback to the neck line. The objective for the Double top is around 1.07074 that almost matches Fibo 38% in 1D chart, while the objective for the broken channel is around 1.051 taking the price to a strong resistance working now as support.
NIFTY:LookS Bullish for 24K TGTNIFTY :Had a wonderful run this week and in the process successfully crossed all its critical Moving averages viz 20DEMA,50DEMA ,100 DEMA. Nifty gave a close very nearer to its 200DEMA falling at 23397 and is its immediate weaker reistance. NIFTY also formed Triple bottom pattern in daily chart and it suggests that ,NIFTY holding above 23400 its likely to test 23800-24000.For me any reasonable dip is a buy for 23800+Target,those holding may trail their SL (For educational purpose only)
Eye Long term National Vision Holdings, Inc. (NASDAQ: EYE) is a leading optical retailer in the United States, offering products such as eyeglasses, contact lenses, and accessories.
Technically forming bullish Golden cross.. seems to move up from here
Recent Performance:
Stock Price: As of March 21, 2025, EYE is trading at approximately $12.52 per share.
52-Week Range: The stock has fluctuated between $9.56 and $23.26 over the past year.
Revenue: In 2024, the company reported revenues of $1.82 billion, marking a 3.81% increase from the previous year.
StockAnalysis
Net Loss: The net loss for 2024 was $28.5 million, a 56.75% improvement compared to 2023.
Rating: The consensus among six analysts is a "Hold" recommendation for EYE stock.
Price Target: The 12-month average price target is $14.00, suggesting a potential upside of approximately 10.59% from the current price.
StockAnalysis
Company Overview:
Founded in 1990 and headquartered in Duluth, Georgia, National Vision operates under various brands, including America's Best and Eyeglass World. The company employs nearly 14,000 individuals and focuses on providing affordable eye care services and products across the nation.
Please note that investing in the stock market involves risks. It's essential to conduct thorough research or consult with a financial advisor before making investment decisions.
EUR/USD Technical Analysis – Double Top Pattern & Bearish MoveThis EUR/USD 1-hour chart presents a clear Double Top pattern, signaling a potential trend reversal. The chart displays key technical elements, including support and resistance levels, trendlines, a stop-loss placement, and a take-profit target. Let’s go through an in-depth professional breakdown of this trading setup.
1. Market Structure and Trend Analysis
Before identifying the pattern, it’s crucial to analyze the market structure:
✔ The price had been in an uptrend initially, making higher highs and higher lows.
✔ However, the trend began to weaken after hitting resistance at the 1.0950 zone.
✔ This failure to break higher created a double top, which is a strong bearish reversal signal.
A double top forms when the price reaches a high twice, fails to break above resistance, and then declines past the neckline (support level), confirming trend reversal.
2. Double Top Pattern Breakdown
🔹 First Peak (Top 1):
The price surged upwards, hitting the resistance zone at 1.0950, but faced selling pressure.
The rejection resulted in a pullback to the neckline (support level at 1.0800-1.0820).
🔹 Second Peak (Top 2):
The price attempted another rally but failed at the same resistance zone, confirming seller dominance.
The second rejection suggests a lack of bullish strength, signaling a potential shift in momentum.
🔹 Neckline (Support Breakdown):
The key support zone around 1.0800 acted as a pivot level.
Once this level was breached, it confirmed bearish continuation.
3. Key Technical Levels & Price Action Signals
🟢 Resistance Level – 1.0950 Zone
This level has acted as a strong supply zone where sellers stepped in to push prices lower. The two failed breakout attempts indicate that buyers lost control.
🔵 Support Level (Neckline) – 1.0800-1.0820 Zone
Initially, this area provided buyer support, but once broken, it became a resistance level (previous support turns into new resistance).
⚡ Stop-Loss Placement – 1.09190
A well-placed stop-loss above the resistance zone protects against false breakouts.
If the price rises above this level, it invalidates the bearish structure.
🎯 Take-Profit Target – 1.06916
The projected target aligns with the measured move (the distance from the resistance to the neckline).
The price may find support at this level, where traders should look for a potential reversal or continuation.
4. Confirmation of Bearish Breakdown
For a high-confidence short trade, multiple confluences support the bearish bias:
✔ Break & Retest of the Neckline – After breaking support, the price attempted a retest and failed, confirming resistance.
✔ Trendline Break – The trendline supporting the previous uptrend has been decisively broken.
✔ Bearish Price Action – The formation of strong red candles and lower highs suggests sustained selling pressure.
✔ Momentum Shift – Increased bearish volume further confirms the reversal strength.
5. Trading Strategy & Execution Plan
✅ Entry Criteria
Sell after the retest rejection at the previous support (now resistance).
Look for a strong bearish candle formation as a confirmation signal.
📉 Risk Management
Stop-Loss: Placed slightly above 1.09190, ensuring the pattern remains valid.
Take-Profit: Target set at 1.06916, aligning with previous structure support.
💰 Risk-Reward Ratio
The setup offers an attractive risk-to-reward ratio, making it a high-probability trade.
6. Alternative Scenarios & Market Considerations
Although the bearish bias is dominant, traders should be prepared for alternative outcomes:
🔸 Fakeout Risk: If price closes above 1.09190, it could indicate a failed breakdown, invalidating the trade.
🔸 Bounce from 1.06916: If the price reaches the target support zone, buyers might step in, leading to a potential reversal.
🔸 Fundamental Influence: News events (such as FOMC, ECB statements, or US inflation data) can increase volatility and impact price direction.
7. Conclusion – A High-Probability Short Trade
This Double Top pattern setup presents a textbook bearish reversal, offering an excellent short-selling opportunity. The combination of technical confirmations, price action signals, and a well-structured risk-reward ratio makes this trade highly reliable.
Final Takeaways:
✔ Bearish Confirmation – Double Top breakdown with a retest rejection.
✔ Sell Setup Validity – Below 1.0800 support.
✔ Stop-Loss & Target Defined – Risk-controlled strategy execution.
📊 Verdict: Bearish trade setup with downside potential toward 1.06916. Traders should monitor price action for further confirmations! 🚀
CADCHF: Very Bearish Candlestick 🇨🇦🇨🇭
CADCHF formed the insidebar pattern after a test of a strong resistance cluster.
Bearish breakout of its range is a strong intraday bearish signal.
I expect a retracement from the underlined area at least to 0.514 level.
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Three Possible Scenarios for EURUSDEURUSD has flattened out after its strong upward move from around 1.0350 to 1.0950. The bullish momentum has eased, with Europe’s new spending plans priced in, most of the tariff impact accounted for, and markets digesting the FOMC forecasts. Now, the focus shifts to the next major decision point.
There are three possible scenarios:
1-This is a double top formation around 1.0950. If 1.08 breaks, the formation target is at 1.0650, which is also the midpoint of the rally from 1.0350 to 1.0950. It’s a classic technical setup, and fundamentals such as a potential escalation in trade tensions when the April 2 tariffs come into effect could support this move.
2- The second scenario is that this is a consolidation phase before the next leg higher. In this case, the current movement forms a flag pattern, and a breakout would aim for 17 years long downtrend line just above 1.11. For this to materialize, a clear breakout above 1.0950 with strong fundamental support is required.
3- The market may stay indecisive due to the high level of risks and unknowns. In this case, EURUSD would likely continue moving sideways, possibly with minor corrections or false breakouts on both ends, before a clearer direction emerges.
Our view favors the first scenario as the most probable outcome, though all three have valid technical and fundamental reasoning behind them. We lean toward the first scenario because sharp upward moves like this typically require a healthy correction, the risk of trade war escalation increases with each new statement from Trump, and the technical setup aligns well with this narrative.
Potential double bottom pattern on USDCHFOn the 4-hour chart, USDCHF has formed a potential double bottom pattern in the short term. At present, attention can be paid to the resistance near 0.8864. If it breaks through, it will continue to rise, with the upward target looking at around 0.8960. At present, attention can be paid to the pullback near 0.8820 to go long.
NZD/USD sell setup Chart Details & Analysis
**Chart Details & Analysis (NZD/USD 15-Minute Chart)**
Indicators & Current Price Action:
- Exponential Moving Averages (EMA):
- 7-period EMA (Blue): 0.58260
- 21-period EMA (Purple): 0.58234
- 50-period EMA (Yellow): 0.58196
- Current Price: 0.58256
- Recent Highs:
- Top 1: Previous peak before retracement.
- Top 2:** A new high indicating possible resistance.
**Key Chart Observations:**
1. **Double Top Formation?**
- The **"Top 1" and "Top 2"** levels suggest the possibility of a **double top** pattern, which is typically a **bearish reversal signal** if the price fails to break above **Top 2**.
- If confirmed, a drop toward the **target zone** is possible.
2. **Support & Breakdown Potential:**
- The price is currently near the **short-term EMAs (7 & 21)**. If it holds above these levels, the uptrend could continue.
- A breakdown below the EMAs and recent swing lows could trigger a **bearish move toward the target level (~0.57800 - 0.57900).**
3. **Volume & Momentum:**
- Volume appears lower compared to previous spikes, suggesting a possible slowdown in bullish momentum.
#### **Possible Trade Scenarios:**
- **Bullish Case:**
- If the price breaks **above "Top 2"**, it could indicate **continuation of the uptrend**, targeting higher resistance levels (~0.58400+).
- **Bearish Case:**
- If the price **fails to break above "Top 2" and falls below the EMAs**, a decline toward the **target zone** is likely.
USDCHF Correction Due To Produce A Reversal Pattern?OANDA:USDCHF has been in a Correction Wave since the beginning of January and we now see that Price may have finally found Support at the 1.809 Fibonacci Extension Level of the Correction Wave.
With both Lows in March finding Support at the 1.809 Fibonacci Extension Level, Price is beginning to form what looks like a Reversal Pattern, the Double Bottom!
** Confirmation of Pattern will come when Price Breaks and Closes Above .8863, then we will be looking for a Long Opportunity to present itself as a Break and Retest Set-Up. The Retest will Validate the Trade Idea!
If we take the height of the Pattern and apply it to the Break of Confirmation, this puts the Potential Target at Previous Area of Support of the Correction Wave ( Point A ) in the .8975 area.
Fundamentals seem to Support the Bullish Idea with:
SNB Cutting Interest Rates by 25 Basis points from .5% to .25%
FED Holding Interest Rates @ 4.5% due to "Economic Uncertainty"
Unemployment Claims for USD came in as expected with no surprise and even 1K below Forecast ( Actual 223K / Forecast 224K )
Also Positive Outlook from Philly Fed Manufacturing Index and Existing Home Sales see USD rise.
Next Weeks Final GDP on Thursday, March 27th will be the next big News Event to bring some light to how the economy is doing and if USD will continue strengthening!
Double bottom?I see what looks like here a double bottom in Hindustan Unilever and and wedge at the same time!
A Triple Top Pattern: Signals and StrategiesA Triple Top Pattern: Signals and Strategies
Traders are always on the lookout for reliable analysis tools that can help them make informed trading decisions. One such tool is the triple top trading pattern. It is a bearish reversal formation that can help traders identify potential trend reversals and take advantage of market opportunities.
In this FXOpen article, we will explore what the triple top pattern is, what it indicates, and how to identify it on price charts. Keep reading to find examples that will help you understand how to use it in a trading strategy.
What Is a Triple Top Pattern?
A triple top is a technical analysis pattern that signals a potential reversal in a trend. Is the triple top bullish or bearish? It’s a bearish formation. The pattern occurs when the price of an asset hits the same resistance level three times, failing to break above it on each occasion. This indicates that buyers are losing strength and sellers are starting to dominate the market. It is often seen after a sustained uptrend.
Identifying a triple top involves spotting three distinct peaks at roughly the same price level, separated by two troughs. The peaks are formed when the price hits resistance but fails to push through, while the troughs occur when the price retraces after each failed attempt.
To confirm a valid triple top, the peaks should be close in height, and the troughs should create a roughly horizontal neckline. The pattern is confirmed when the price breaks below the neckline, signalling that sellers have overtaken buyers.
Triple Top Chart Pattern Trading Strategy
Once traders have identified the triple top formation, they can use various trading strategies to take advantage of it. However, there are common rules that are used as the basis:
- Entry: Traders enter a short position when the price breaks below the neckline, which is the level that connects the two troughs that separate the peaks. This level is a critical support level, and when it is broken, it confirms the triple top candlestick pattern and indicates that the trend is reversing.
- Stop Loss: To manage risk, traders place a stop-loss order above the neckline. If the price starts to rise again, the stop-loss order will limit potential losses. The theory states that traders can place a stop-loss on the neckline. However, the price often retests the support level after a breakout, so the risk of an early exit rises.
- Take Profit: There are several ways of determining a profit target. The most common technique is to measure the distance between the tops and bottoms and subtract it from the triple top breakout point.
Another strategy is to identify the target based on the closest support levels. However, this may limit potential returns if the support is too close to the entry point. Therefore, traders sometimes use trailing stops to lock in potential profits as the price continues to fall.
Trading Example
In the chart above, the price formed the triple top. We could have entered a short position once the price broke below the neckline and closed it either at the point equal to the distance between the peaks and the neckline or at the closest support level, as the levels are almost equal. However, selling volumes were low (1) at the breakout level, so we could have expected an upcoming bullish reversal. Therefore, we wouldn’t have kept the position beyond the initial take-profit target.
How Traders Confirm the Triple Top
To confirm the triple top pattern and ensure its validity, traders use a combination of technical tools and indicators. These help confirm that the trend is indeed reversing and not just experiencing a temporary pullback. Here are the key methods traders use:
- Neckline Break. The most important confirmation comes when the price breaks below the neckline, which is the horizontal level connecting the lows between the peaks. A clean break suggests a stronger reversal.
- Volume Analysis. Volume plays a crucial role in confirming the triple top. Traders look for a surge in selling volume when the price breaks the neckline. If the volume is low during the breakout, the pattern may not be reliable, and a bullish reversal could follow.
- Momentum Indicators. Traders often use momentum indicators like the Stochastic Oscillator or Moving Average Convergence Divergence (MACD). When these indicators show bearish divergence, it signals a potential downward reversal. A negative crossover in the MACD or Stochastic adds further confirmation.
- Retest of Neckline. Sometimes, after breaking the neckline, the price may retrace and retest this level as resistance. A failed retest, where the price does not move back above the neckline, confirms that sellers are in control.
Triple Top vs Triple Bottom
It is important to distinguish between the triple top and the triple bottom chart patterns, as the former is the bearish setup, while the latter is a bullish reversal formation. The triple bottom setup forms when the price hits a particular support level three times and fails to break through it. It suggests that the sellers have lost their strength, and the buyers are starting to take control. The bottoms are separated by two peaks, which occur when the price retraces some of its gains from the support level.
Traders use the same principles to trade the triple bottom as they would the triple top but vice versa. They enter a long position when the price breaks above the neckline and set a stop-loss order below it. The take-profit target might equal the distance between bottoms and peaks or be set at the closest resistance level.
Triple Top Challenges
While the triple top pattern is a valuable tool for spotting reversals, it has its limitations. Traders should be aware of the following challenges:
- False Breakouts. The price may break below the neckline only to quickly reverse back, leading to a false signal. This can cause traders to enter losing positions if they act too quickly without further confirmation.
- Extended Sideways Movement. Sometimes, the price can stay near the neckline after a breakout, leading to indecision and uncertain market behaviour. This sideways movement can make it difficult to determine if the trend has truly reversed.
- Retests Leading to Reversals. After the initial breakout, the price may retest the neckline and move back above it, invalidating the triple top pattern. Traders need to be cautious and set appropriate stop-loss orders to help potentially mitigate risk.
Final Thoughts
The triple top pattern offers traders a powerful tool for identifying potential market reversals. However, it’s crucial to confirm the pattern and integrate it with other forms of analysis to avoid false signals. Ready to put these insights into action? Open an FXOpen account today, and trade with a broker offering tight spreads, low commissions, and advanced trading platforms.
FAQ
What Does a Triple Top Mean in Trading?
The triple top pattern meaning refers to a bearish reversal formation indicating a potential end to an uptrend. It forms when the price reaches the same resistance level three times without breaking through, suggesting weakening buying momentum and increasing selling pressure. This pattern signals that the asset's price may soon decline.
How Do You Confirm the Triple Top Pattern?
To confirm a triple top pattern, traders watch for a decisive break below the neckline, which connects the lows between the peaks. Increased trading volume during the breakout strengthens the confirmation, indicating strong seller interest. Technical indicators like the Stochastic Oscillator showing bearish divergence can provide additional validation.
Is a Triple Top Bullish?
No, a triple top is not bullish; it is a bearish reversal pattern. It signifies that the asset's price has repeatedly failed to surpass a resistance level, indicating diminishing upward momentum. Traders see this as a cue to consider short positions or to exit existing long positions.
Is a Triple Top Stronger Than a Double Top?
A triple top is generally considered stronger than a double top pattern because the price has failed to break resistance three times instead of two. This extra failed attempt reinforces the strength of the resistance level and increases the likelihood of a significant reversal. However, both patterns are important and should be analysed with other market factors.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
