Tesla share price reversal - Dragon pattern?
Based on your trading experiences, is profiting from this pattern possible? Will the market head north or south?
The Dragon pattern (D) is a simple pattern of technical analysis that refers to reversal price models and its occurrence predicts the future change in the market trend.
The D pattern consists of five elements, namely: a head, two feet, a hump between the feet and a tail. With that, one should be able to draw a trend line from the pattern’s head to the highest point of its hump. It's similar to a double bottom reversal pattern (W pattern). You can take profit and set stop loss at the various point level.
The Dragon pattern (D) is a simple pattern of technical analysis that refers to reversal price models and its occurrence predicts the future change in the market trend.
The D pattern consists of five elements, namely: a head, two feet, a hump between the feet and a tail. With that, one should be able to draw a trend line from the pattern’s head to the highest point of its hump. It's similar to a double bottom reversal pattern (W pattern). You can take profit and set stop loss at the various point level.
The first chart was taken from Tesla share price from Dec til today which shows a similar Dragon pattern . Is Tesla share price heading for a reversal?
Bottom line
Trendlines will vary depending on what part of the price bar is used to "connect the dots." Chart is a good tool to predict a trend over a period of time but it takes years of experience to master the skill to use it for profit trading.
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RIPPER : It is in a reversal