THE BEARISH PENNANT FLAG PATTERN
This chart pattern is different from the bullish pennant flag pattern, because its pole runs down before the triangular flag consolidation start.
Price trend can be any direction leading to the chart pattern(in the bearish pennant flag pattern, price leading to the pattern is upward).
Shape looks like a short symmetrical triangle. Prices move between two converging trendlines.
The flagpole which leads to the pennant should be unusually steep and last several days.
Breakout upward 57% of the time. The pennant flag pattern shown above is a loose one, because it has a lot of white space inside it.
Price has broken out, needs to get to a particular price before we can all open a short position.
VERDICT:
SELL/SHORT: $59.697
BUY:$59.198
STOP LOSS: $58.27
Risk Disclaimer:
Trading cryptocurrency on margin carries a high level of risk(volatile), and may not be suitable for all trades who are yet to understand how to use STOP LOSS. The high degree of leverage can work against you as well as for you.
It is your responsibility to confirm if you want to take this trade or not. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations.
If you do not fully understand these risks you must seek independent advice from your financial advisor.
This chart pattern is different from the bullish pennant flag pattern, because its pole runs down before the triangular flag consolidation start.
Price trend can be any direction leading to the chart pattern(in the bearish pennant flag pattern, price leading to the pattern is upward).
Shape looks like a short symmetrical triangle. Prices move between two converging trendlines.
The flagpole which leads to the pennant should be unusually steep and last several days.
Breakout upward 57% of the time. The pennant flag pattern shown above is a loose one, because it has a lot of white space inside it.
Price has broken out, needs to get to a particular price before we can all open a short position.
VERDICT:
SELL/SHORT: $59.697
BUY:$59.198
STOP LOSS: $58.27
Risk Disclaimer:
Trading cryptocurrency on margin carries a high level of risk(volatile), and may not be suitable for all trades who are yet to understand how to use STOP LOSS. The high degree of leverage can work against you as well as for you.
It is your responsibility to confirm if you want to take this trade or not. Trade only with risk capital; that is, trade with money that, if lost, will not adversely impact your lifestyle and your ability to meet your financial obligations.
If you do not fully understand these risks you must seek independent advice from your financial advisor.