FALLING WEDGE SERIES
FALLING WEDGE FREE

The pattern is confirmed when you have a decisive close outside one of the trendlines.Breakout ? this can be in any direction, but generally it will be to the upside.Contraction ? the support and resistance lines converge to form a cone as the pattern matures.There must be a falling lower support line with 3 or more touches.There must be a falling upper resistance line with 3 or more touches.

FALLING WEDGE FREE

A price trend must be underway leading to a pattern. Felling Wedges - Tree Felling Wedges Chainsaw Loggers Supplies POM Tree Wedges for Tree Cutting,Falling,Bucking 3-5.5'/3-7.9' Wedges with Free Storage Bag (6pcs-Pack) 4.6 out of 5 stars 101 17.88 17.So what are the guidelines for a falling wedge?

FALLING WEDGE SERIES

However, often aggressive traders are able to get in early provided there are a number of confluences of indicators, in the above chart you have a perfect Wave 3 bullish divergence, bounce of the trendlines, a series of higher lows and than taking a top down approach, bounce of EMAs and pivot points. However, unlike symmetrical triangles, wedge patterns are reversal signals and have a strong bias towards being either bullish for falling wedges or bearish. The bullish bias is generally realised when there is a break of the resistance line. The following chart on EURGBP (Nov2006) illustrates a good example of a falling wedge, and this was covered live at one of my live Webinar enabling traders to pull the trigger, thus far it has been a very good profitable trade. This pattern has a series of lower highs and lower lows. A falling wedge is generally a bullish chart pattern that begins wide at the top and contracts as the prices move lower.

This may push LINK into another dip to seek support at $14, $13, and $12.5, respectively.A Wedge formation is similar to a triangle in appearance in that they have converging trendlines. In other words, a sizeable number of investors would make a profit if they sold at the current price, adding to the selling pressure. LINK MVRV Chart SantimentĬonversely, the Market Value to Realized Value (MVRV) model by Santiment, which tracks the profitability of LINK holders showed that the token was already overvalued for short-term movements. In other words, demand for LINK was expanding, and coupled with a generally bullish cryptocurrency market, the only way from now might up. As whales stock up on LINK tokens, sentiment tends to generally improve in the market. Chainlink Supply Distribution SantimentĪs shown, the price moved alongside the curve, suggesting that if this growth progresses, LINK may well hit highs significantly above $20. Over the last 30 days, this metric has grown by 3.4%, adding 10 more addresses to 294. LINK/USD Daily Chart Tradingview chart: LINKįundamentally, LINK appears primed for further upside action, especially after the increase in the number of addresses holding between 100,000 and 1 million tokens is considered. In light of the bullish sentiments, more resistance would be projected at the 100-day SMA, currently holding at $18, $20, and the 200-day SMA. If it stays in place, LINK may soon resume the uptrend above $16 and make way towards the target at $22.5. Putting the breakout aside, the 50-day Simple Moving Average (SMA) was LINK’s immediate support. Like triangles, the falling wedge has a precise target equal to the widest points. A 68.5% breakout immediately came into sight followed by the price ticking up to $16. Is a bullish chart pattern formed by two descending trend lines indicating whether upward trend is about to reverse or to continue. As the pattern formed amid lower lows and lower highs, LINK soared above the upper trend line. LINK Buyers Look At A 68% UpswingĪ falling wedge pattern, as highlighted on the daily chart (below), provided the optimum conditions for LINK to begin a trend turnaround. The leading decentralized finance oracle token has, however, retreated with an intention of settling above higher support, before continuing with the move to achieve the governing pattern’s breakout target at $22.5. The price of LINK, Chainlink’s native currency, came short of brushing shoulders with $16 following the latest upswing from the support approximately at $12.5.

Token appears overvalued for short-term movements based on the MVRV ratio.

The number of whales holding between 100,000 – 1 million LINK tokens grow by 3.4% in 30 days.

LINK set off to $22.5 after last week’s falling wedge pattern breakout.

Falling wedge