Phase A. stopping the previous bearish trend. PS- its the fist attempt to stop the downward movement that always fail. SC- climax action that stops the downward movement. AR- bullish reaction. an up-ward movement that sets the trading range high. ST- test of the level of supply in relation to climax action. establishes the end of phase A and beginning of phase B.
this produces the chage in character with which it makes the price evolve from a downward trend environment ta a lateralisation environment. also we saw the sign of strength and
Phase B construction of the cause.(TEST) UA- temporary breakout of the resistance and re-entry into the range. this is a test at the high generated by the AR. ST as SOW- secondary test as sign of weakness in test function. temporary break of the support and re-entry to the range. CHoCH- change of character. it indicate the inverinment in which the price will move soon, commonly happen in phase a and c but this happen in phase B, it wold be a kind of test that denotes greater strength.
This type of test allows us to evaluate the strength and weakness of buyers and sellers . occasionally , test will be performed at both the top and bottom ends of the structure.
Phase C (possible) TEST. at this current level, potential shakeout. i call it. SECONDARY TEST ON THE UPPER END. the price passes through the previous high created in the stop action but does not move too far away before re-entering the range leaving a slight shake. is it a movement that denotes background strength as the price has been able to penetrate the resistance zone of the range ; and this could not happen if there were no aggressive buyers present.
**** currently price is able to closed above VWAP 0.417 with volume breakout, that indicate a stopping move. real strength only if price able to be above 0.435-0.4 retest a stay above it.
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لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.