1- Current Price on Monthly support and resistance
2- Potential reversal point as Month support.
3- ABCD Pattern formation where C point exactly form on 43800 $ which is Fib golden ratio.
4- Vice Versa if Month support break then Fall can be seen towards 42,400$.
The ABCD pattern in trading is a technical analysis pattern that consists of four price points forming a geometric shape. The pattern is typically used to identify potential trend reversals or continuations. Each point in the pattern is labeled A, B, C, and D.
If you want to create a Bitcoin ABCD pattern where the C point falls exactly on the Fibonacci golden ratio, you would need to incorporate Fibonacci retracement levels into the pattern. Here's a general guide:
Determine Points A and B:
Choose a significant low point as A (start of the pattern).
Identify a subsequent high point as B (end of the initial price move).
Calculate Fibonacci Retracement Levels:
Use Fibonacci retracement levels to determine potential support levels. Common retracement levels include 38.2%, 50%, and 61.8%. You can also consider the 23.6% level.
Identify Point C:
Point C is typically a retracement from the initial move AB. Choose a retracement level that corresponds to the Fibonacci golden ratio (around 61.8%).
Determine Point D:
Point D is the anticipated reversal point. It is typically found at the 78.6% retracement level or 127.2% extension level of the AB move.
Here's an example:
A: Bitcoin's low at $43,720
B: Bitcoin's high at $44,358
Fibonacci retracement levels: 38.2%, 50%, 61.8%, etc.
Choose C: $15,591 (approximately 61.8% retracement of AB move)
This forms the basic ABCD pattern. However, it's crucial to note that technical analysis, including pattern recognition, should be used in conjunction with other indicators and analysis methods. Markets are complex, and patterns may not always play out as expected.
Always remember to consider other factors such as market trends, volume, and broader market conditions before making any trading decisions. Additionally, past performance is not indicative of future results, so exercise caution and risk management in your trading activities.
2- Potential reversal point as Month support.
3- ABCD Pattern formation where C point exactly form on 43800 $ which is Fib golden ratio.
4- Vice Versa if Month support break then Fall can be seen towards 42,400$.
The ABCD pattern in trading is a technical analysis pattern that consists of four price points forming a geometric shape. The pattern is typically used to identify potential trend reversals or continuations. Each point in the pattern is labeled A, B, C, and D.
If you want to create a Bitcoin ABCD pattern where the C point falls exactly on the Fibonacci golden ratio, you would need to incorporate Fibonacci retracement levels into the pattern. Here's a general guide:
Determine Points A and B:
Choose a significant low point as A (start of the pattern).
Identify a subsequent high point as B (end of the initial price move).
Calculate Fibonacci Retracement Levels:
Use Fibonacci retracement levels to determine potential support levels. Common retracement levels include 38.2%, 50%, and 61.8%. You can also consider the 23.6% level.
Identify Point C:
Point C is typically a retracement from the initial move AB. Choose a retracement level that corresponds to the Fibonacci golden ratio (around 61.8%).
Determine Point D:
Point D is the anticipated reversal point. It is typically found at the 78.6% retracement level or 127.2% extension level of the AB move.
Here's an example:
A: Bitcoin's low at $43,720
B: Bitcoin's high at $44,358
Fibonacci retracement levels: 38.2%, 50%, 61.8%, etc.
Choose C: $15,591 (approximately 61.8% retracement of AB move)
This forms the basic ABCD pattern. However, it's crucial to note that technical analysis, including pattern recognition, should be used in conjunction with other indicators and analysis methods. Markets are complex, and patterns may not always play out as expected.
Always remember to consider other factors such as market trends, volume, and broader market conditions before making any trading decisions. Additionally, past performance is not indicative of future results, so exercise caution and risk management in your trading activities.