Symmetrical Triangle

14 févr. 2021

DDOG has broken up from a S triangle and returned back to a tad below break out level, used it as a springboard and closed above long entry level. There is a level of support at bottom of the candle tail.

Symmetrical triangles are often a slow down time for price and price consolidates inside. The pattern consists of 2 trendlines that slope in opposite directions and converge at the endpoints. The pattern needs 5 touches minimum, 2 to one trendline and 3 to the other and can enter the triangle from any direction. Volume usually levels off or decreases while price is inside, but a break out of the trendlines with heavy volume performs the best. I do not see super heavy volume when DDOG broke the triangle. The heavier volume days were when DDOG hit the bottom trendline of the triangle..

A S Triangle can break up or down and is considered a neutral pattern until break out occurs.

Not a recommendation

15 févr. 2021

Note

I guess it as just a "let's dump Data Dog day" Happens sometimes and often there is no rhyme nor reason to what the market decides to do. Earnings are 5/11