JOE: Liquidity Hunt Event Explained & Other Simple SignalsLook at this chart and we have two dynamics here that make it strongly bullish:
1) Drop below a long-term sideways range. When we have a long-term accumulation zone range and the trend is about to change, there is always a final breakdown before the change of trend. Seeing this happen reinforces the bullish potential.
2) Liquidity hunt event. The long-term sideways range is broken in search of liquidity, the market is looking for liquidity before changing course. Since it is going to grow and grow strongly, it first moves down to remove any weakness or doubtful players.
The 30-September candle is also quite revealing. Here we can see a major push down that was quickly reversed, when we couple these signals with marketwide action we know what to expect next. Marketwide action is explained in more detail in the PYTHBTC post here .
When price action moves back above 700 satoshis (0.00000700), we also have a rounded bottom, bear trap or false breakdown. When the action is back above 700 sats, the pair is consider super bullish and the bullish potential becomes confirmed.
Additional bullish signals can be extracted using moving averages and oscillators. The oscillators would show divergences with the trading pair and the moving averages would start to fall behind as JOEBTC recovers.
These are simple but powerful signals.
These are early and reversal signals.
These signals can help you spot a trend reversal on any Cryptocurrency trading pair.
Thank you for reading.
Namaste.
