Let's see and why also.
Bitcoin Price Thread
- Thread starter Magna
- Start date
What 3rd trendline?
It ain't the higher low that matters per se, but the slope of the two connecting points that matters. See how the slope is getting flatter in the following chart?
My philosophy when it comes to a trendline is simple. Use the trendline that connects the most price points. If you can only connect 2 lows, then use that. But if you can find one that can connect 3 (or more), then use that instead.
Also, all things being equal, the latest lowest low carries more weight than the previous lows, even though it might connect less. Obviously, if it weren't important, it wouldn't have fallen so much. Hence (2) is more important than (1) below (for me at least). So as price drops further, you'll need to constantly draw a new trendline.
IMO where it closes matters most. Wicks less so.
Think days like NFP or FED announcements. Shoots way up or way down or both. A lot of noise. Where it settles is key.
Same for ordinary days.
That is why I almost look to the close of the bar, even intra-day.
(As per my previous chart pic - TL no.1 for those playing at home)
Think days like NFP or FED announcements. Shoots way up or way down or both. A lot of noise. Where it settles is key.
Same for ordinary days.
That is why I almost look to the close of the bar, even intra-day.
(As per my previous chart pic - TL no.1 for those playing at home)
That's what I've been saying though. Does it CLOSE above or below the trendline? Today's close will definitely be below the TL, which won't be a good thing for the bulls. Still remains to be seen of course.
Agree, but I'm also talking about determining which bar(s) to draw TL's from based on where price closes in said bars.