LTC expanding triangle. Important levels and pivot points.
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Litecoin is in a small uptrend in the “Expanding” (diverging) triangle. The global trend is downward. Important pivot points and levels of the first movements I depicted on the chart.
Features to which you should pay attention when forming this model of a figure.
1) There must be a minimum of 4 points of contact 2 touches to the ascending line of resistance and 2 to the descending line of support. Then later touch points on both sides should tend toward the horizontal center of the triangle. And it is worth noting that the more points of contact, the more reliable the figure.
2) The volume of trading as the formation of the figure should increase. The “Expanding Triangle” figure, in contrast to other triangles, changes in the trading volume indicators on the contrary, that is, the volume increases with the formation of the expanding triangle.
3) If inside the “Expanding Triangle” (component of the triangle wave) the price increase is accompanied by an increase in volume indicators, then it is most likely that the figure will be broken up. And vice versa, if inside the “Expanding Triangle” a fall in prices is accompanied by an increase in volume indicators, then most likely the figure will be broken down. Do not forget to look in the tape of sales. The chart may show a "fake" that imposes a market maker. This is especially true for instruments with medium and low capitalization.
4) The ideal moment for a breakthrough is considered to be the moment starting from half to 3/4 of the figure. A break in the first half of the figure, as a rule, turns out to be premature, and in its last quarter, most likely, will be insignificant.
5) The "diverging triangle" triangle is a figure of the continuation of the trend. Most likely, the price will break through the support / resistance level and go in the direction of the trend. This is in most cases. The direction of the price movement depends on the side on which the price has left the figure. Therefore, the direction of the price movement into which the triangle made its way, rather than the previous trend, is more important.
6) the proximity of significant levels of support / resistance can also affect the direction of price movement.
7) If the upper resistance line has been broken, it becomes a support line. The broken bottom support line later becomes a resistance line. Sometimes after breaking through the price as a result of correction may temporarily return to this line.
8) The breakthrough of the figure should be convincing. It is desirable that a breakthrough in the direction of the dominant trend be accompanied by an increase in trading volume. When breaking against the trend, a sharp increase in trading volume is a prerequisite for confirmation.
9) An important breakthrough is not so important, namely, fixing the price outside of support / resistance.
10) The goal when working out the “Expanding Triangle” after the breakthrough is equal to the absolute value of the widest part of the triangle added to the price exit point. Similarly, the target is measured when trading inside the triangle and it does not matter in long or short.
11) This is the only triangle that allows you to trade very profitably inside the figure, because with each new wave inside the triangle everything is higher, therefore the profit potential is greater. If we assume that an “Expanding Triangle” is being formed, and that the formation of the figure has not yet been completed, then it makes sense to open a counter position from the support level or resistance level in the expectation that the price will reach the opposite side of the triangle.
SpartaBTC
Features to which you should pay attention when forming this model of a figure.
1) There must be a minimum of 4 points of contact 2 touches to the ascending line of resistance and 2 to the descending line of support. Then later touch points on both sides should tend toward the horizontal center of the triangle. And it is worth noting that the more points of contact, the more reliable the figure.
2) The volume of trading as the formation of the figure should increase. The “Expanding Triangle” figure, in contrast to other triangles, changes in the trading volume indicators on the contrary, that is, the volume increases with the formation of the expanding triangle.
3) If inside the “Expanding Triangle” (component of the triangle wave) the price increase is accompanied by an increase in volume indicators, then it is most likely that the figure will be broken up. And vice versa, if inside the “Expanding Triangle” a fall in prices is accompanied by an increase in volume indicators, then most likely the figure will be broken down. Do not forget to look in the tape of sales. The chart may show a "fake" that imposes a market maker. This is especially true for instruments with medium and low capitalization.
4) The ideal moment for a breakthrough is considered to be the moment starting from half to 3/4 of the figure. A break in the first half of the figure, as a rule, turns out to be premature, and in its last quarter, most likely, will be insignificant.
5) The "diverging triangle" triangle is a figure of the continuation of the trend. Most likely, the price will break through the support / resistance level and go in the direction of the trend. This is in most cases. The direction of the price movement depends on the side on which the price has left the figure. Therefore, the direction of the price movement into which the triangle made its way, rather than the previous trend, is more important.
6) the proximity of significant levels of support / resistance can also affect the direction of price movement.
7) If the upper resistance line has been broken, it becomes a support line. The broken bottom support line later becomes a resistance line. Sometimes after breaking through the price as a result of correction may temporarily return to this line.
8) The breakthrough of the figure should be convincing. It is desirable that a breakthrough in the direction of the dominant trend be accompanied by an increase in trading volume. When breaking against the trend, a sharp increase in trading volume is a prerequisite for confirmation.
9) An important breakthrough is not so important, namely, fixing the price outside of support / resistance.
10) The goal when working out the “Expanding Triangle” after the breakthrough is equal to the absolute value of the widest part of the triangle added to the price exit point. Similarly, the target is measured when trading inside the triangle and it does not matter in long or short.
11) This is the only triangle that allows you to trade very profitably inside the figure, because with each new wave inside the triangle everything is higher, therefore the profit potential is greater. If we assume that an “Expanding Triangle” is being formed, and that the formation of the figure has not yet been completed, then it makes sense to open a counter position from the support level or resistance level in the expectation that the price will reach the opposite side of the triangle.
SpartaBTC
Trade fermée: cible de profit atteinte
Transaction en cours
Trade fermée: cible de profit atteinte
An expanding triangle with the indicated “observation zone” has broken down to the indicated support level. 
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