Simple rules for a pitchfork chart:
* Price tends to gravitate towards the median line.
* When price breaks the median line there is a high chance it will pull back to retest again the median line.
* When price breaks the Pitchfork channel on the opposite side of the channel direction, there is a shift in market sentiment and the trend can reverse.
Right now we're at point 2, the price has broken above the median and retested. However the price is also testing a significant horizontal support level at 33 sats (purple line). If the price falls below 33 sats, I believe a new ATL is likely.
If the price breaks above the pitchfork channel (point 3), that will signify a trend reversal and should be a good indicator to buy. See
for an upside trade possibility.
* Price tends to gravitate towards the median line.
* When price breaks the median line there is a high chance it will pull back to retest again the median line.
* When price breaks the Pitchfork channel on the opposite side of the channel direction, there is a shift in market sentiment and the trend can reverse.
Right now we're at point 2, the price has broken above the median and retested. However the price is also testing a significant horizontal support level at 33 sats (purple line). If the price falls below 33 sats, I believe a new ATL is likely.
If the price breaks above the pitchfork channel (point 3), that will signify a trend reversal and should be a good indicator to buy. See
Comment:
This played out quite nicely. 😃
