Fresh Post Monday Fun
In trading it is very important to have several mental models in mind. You can not be biased and in love towards 1 scenario you WANT to happen.
we have a beautiful ascending triangle which can be recognised by a ceiling and a sequence of higher lows.
Important to note is that patterns occur on every timeframe. What happens on a smaller timeframe is less significant than what happens on a bigger timeframe. So if we see an ascending triangle on the weekly chart ( high timeframe ) you could be thinking about a semi long term bullish run for xlm.
But like I said , you can not fall in love with that scenario so you have to make mental models if something else happens. Outlined are 3 scenario's that can happen and you need to plan in advance how you are going to adjust your strategy if you were right / wrong about your model.
Which model do you like best ?
Nova
In trading it is very important to have several mental models in mind. You can not be biased and in love towards 1 scenario you WANT to happen.
we have a beautiful ascending triangle which can be recognised by a ceiling and a sequence of higher lows.
Important to note is that patterns occur on every timeframe. What happens on a smaller timeframe is less significant than what happens on a bigger timeframe. So if we see an ascending triangle on the weekly chart ( high timeframe ) you could be thinking about a semi long term bullish run for xlm.
But like I said , you can not fall in love with that scenario so you have to make mental models if something else happens. Outlined are 3 scenario's that can happen and you need to plan in advance how you are going to adjust your strategy if you were right / wrong about your model.
Which model do you like best ?
Nova