Price Action: How to trade rising wedge and falling wedge, wedge chart...

 

BO Turbo Trader Price Action Guide for Binary Options Trader PDF https://goo.gl/VmcKjJ 👉 SMASH THE LIKE BUTTON 👈 👉 HIT THE SUBSCRIBE BUTTON 👈 👉 LEAVE A COMMENT 👈 Facebook-Group: https://www.facebook.com/groups/31949... Twitter: https://twitter.com/boturbotrader Binary Option Win Rate and Net Profit Calculator + Simulator https://goo.gl/NeUyCp Money Management Masaniello Program + Excel File https://goo.gl/9pNRhs Start Mining Cryptocurrency http://goo.gl/1mJLbU Risk Warning: Your invested capital may be at risk. This video is not an investment advice. Indicators: EMA 3 (blue) EMA 20 (yellow) EMA 50 (orange) EMA 100 (red) EMA 200 (purple) Bollinger Band Period 20 Deviation 2 (green) Bollinger Band Period 20 Deviation 1 (white) During a falling wedge, watch for the price to move above the upper trendline. This is a breakout and completes the pattern. Consider taking a long trade, and shy away from short trades. falling wedge chart pattern. For a rising wedge, consider a short trade when the price breaks below the lower trendline. As a continuation signal, it is formed during an uptrend, implying that the upward price action would resume. Unlike the rising wedge, the falling wedge is a bullish chart pattern. In this example, the falling wedge serves as a reversal signal. After a downtrend, the price made lower highs and lower lows. It's another battle between bulls and bears. The pattern is formed as each high is higher than previous and each low is successively higher as well. The difference being, the angle of ascent is steeper on the rising bottoms line. The steeper of the two trendlines in both the rising and falling wedge patterns. As the name implies, a rising wedge slopes upward and is most often viewed as a topping pattern where the market eventually breaks to the downside. The illustration below shows the characteristics of the rising wedge. Notice how the rising wedge is formed when the market begins making higher highs and higher lows. In many cases, when the market is trending, a wedge will develop on the chart. This wedge could be either rising or falling. Wedges can also appear at the end of a bullish or bearish trend. Thus, a wedge on the chart could have continuation or reversal characteristics depending on the trend direction and wedge type. There are two sorts of wedges that have opposite consequences: •. Falling wedges, mostly completed following a sharp slump and which have a bullish implication,. •. Rising wedges, which foreshadow a violent, downwards reversal phase. On the technical analysis chart, a wedge pattern is a market trend commonly found in traded assets (stocks, bonds, futures, etc.). The pattern is characterized by a contracting range in prices coupled with an upward trend in prices (known as a rising wedge) or a downward trend in prices (known as a falling wedge). A falling wedge is generally considered bullish and is usually found in uptrends. But they can also be found in downtrends as well. The implication however is still generally bullish. This pattern is marked by a series of lower tops and lower bottoms. In case of wedge patters, most of the time the breakout direction is predictable and these are as follows: A rising wedge after an uptrend is a reversal pattern and hence most of the time there is a downward breakout. A rising wedge after a downtrend is a continuation pattern and hence you can go for short-selling. A rising wedge is a reversal pattern frequently seen in bear markets. This pattern shows up in charts when the price moves upward with pivot highs and lows converging toward a single point known as the apex. The Rising Wedge is a bearish pattern that begins wide at the bottom and contracts as prices move higher and the trading range narrows. In contrast to symmetrical triangles, which have no definitive slope and no bullish or bearish bias, rising wedges definitely slope up and have a bearish bias. The falling wedge pattern is characterized by a chart pattern which forms when the market makes lower lows and lower highs with a contracting range. When this pattern is found in a downward trend, it is considered a reversal pattern, as the contraction of the range indicates the downtrend is losing steam.