Trading Discussion Trendline Structure

[theolove2021]

In this particular scenario, the trend line structure was broken through again, and price re-tested the trend line to hold as new support.

Again, on this re-test event there was a strong looking rejection candle buy signal, generating a nice bullish follow through move.

The chart shows a strong structure level that was breached.


Notice how the market came back up to re-test the technical level it broke out from, and the level was respected as new resistance.

I call this the ‘breakout and retest’ event and it basically creates a ‘sweet spot’ for swing trading opportunities.

Keep Trusting the Process. Success in not a fantasy, it is a formular.
To your Success,
Theophilus S.

 

[Setho]

There is a very popular analogy that a particular zone that has been retested many times loses its validity with every retest. This is why I am always of the opinion that whenever you are drawing a trendline it should cut across at least three touches on its way .

 

[Wisdom01]

Most times it's best to to take a clearer study , because I have noticed that it's always better to short the coin or currency whenever it's breaking the resistance level , Because the price would always have a selling pressure ,I have noticed that in trading coins in the market