Double Bottom Reversal Pattern: Ready to Ascend
Value-Finder
This chart pattern shows a double bottom formation, where the current price has hit a low point twice before rebounding. The pattern is currently at the low point of the second bottom and is indicating a potential trend reversal. This chart pattern suggests that the asset is now preparing to ascend to a target price, making it a good idea to consider a long position. This double bottom reversal pattern can be a bullish signal and may provide an opportunity for traders and investors to enter a position with a favorable risk-reward ratio.
Possible Downside
Our trade idea is based on a double bottom formation that is currently positioned for a bullish trend reversal. Since March 2020, the price has been following an upward trend line and has bounced off this line multiple times as it continued to serve as support. However, during March 2023, the price broke below the trend line, forming the second bottom. While we anticipate a rally, we must be prepared to face headwinds as we approach previous support that has now become resistance. As such, we recommend monitoring the price closely as it approaches the $85.44 - $87.43 area and considering exiting the trade or taking early profits. This trade idea offers a favorable risk-reward ratio and the potential for significant gains.
Trade Predication
TD
Time frame: 17/March/23 - 17/May/23 (61 days)
Trade entry: $78.62
Price Target: $85.44 - 94.15%
Potential Return: 8.62% - 19.75%
Expected Target: $86.27
Expected Return: 9.73%
Expected Date: 19/April/23 (33 days)
This chart pattern shows a double bottom formation, where the current price has hit a low point twice before rebounding. The pattern is currently at the low point of the second bottom and is indicating a potential trend reversal. This chart pattern suggests that the asset is now preparing to ascend to a target price, making it a good idea to consider a long position. This double bottom reversal pattern can be a bullish signal and may provide an opportunity for traders and investors to enter a position with a favorable risk-reward ratio.
Possible Downside
Our trade idea is based on a double bottom formation that is currently positioned for a bullish trend reversal. Since March 2020, the price has been following an upward trend line and has bounced off this line multiple times as it continued to serve as support. However, during March 2023, the price broke below the trend line, forming the second bottom. While we anticipate a rally, we must be prepared to face headwinds as we approach previous support that has now become resistance. As such, we recommend monitoring the price closely as it approaches the $85.44 - $87.43 area and considering exiting the trade or taking early profits. This trade idea offers a favorable risk-reward ratio and the potential for significant gains.
Trade Predication
TD
Time frame: 17/March/23 - 17/May/23 (61 days)
Trade entry: $78.62
Price Target: $85.44 - 94.15%
Potential Return: 8.62% - 19.75%
Expected Target: $86.27
Expected Return: 9.73%
Expected Date: 19/April/23 (33 days)