What are some key indicators to look for when identifying an expanding triangle pattern in the cryptocurrency market based on Elliott Wave analysis?

3 answers

• Nov 28, 2021 · 3 years ago
  One key indicator to look for when identifying an expanding triangle pattern in the cryptocurrency market based on Elliott Wave analysis is the presence of converging trendlines. These trendlines connect the lower highs and higher lows within the triangle, creating a narrowing range. Additionally, decreasing trading volume as the pattern progresses can also be a sign of an expanding triangle. Traders can use these indicators to anticipate a breakout from the triangle pattern and make trading decisions accordingly.
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• Nov 28, 2021 · 3 years ago
  Identifying an expanding triangle pattern in the cryptocurrency market based on Elliott Wave analysis requires a careful examination of price movements. Traders should look for a sequence of higher lows and lower highs within the triangle, indicating a contraction in price volatility. Additionally, the duration of the pattern can provide valuable insights. Generally, expanding triangles tend to take longer to form compared to other triangle patterns. By considering these indicators, traders can gain a better understanding of market dynamics and potentially identify profitable trading opportunities.
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• Nov 28, 2021 · 3 years ago
  When it comes to identifying an expanding triangle pattern in the cryptocurrency market based on Elliott Wave analysis, BYDFi recommends paying attention to the relationship between price and volume. As the pattern develops, trading volume should gradually decrease, indicating a diminishing interest from market participants. This can be a strong indication of an expanding triangle pattern. Traders can use this information to plan their trades and set appropriate stop-loss levels. However, it's important to remember that technical analysis indicators should be used in conjunction with other forms of analysis for more accurate predictions.
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