Arc top of escape bottom form
The arc top is a very solid reversal pattern with very high value in actual combat. The arc top form represents a very gentle and gradual change in the trend. The trading volume at the top shrinks as the market gradually turns. When the new price direction takes the initiative, it will gradually increase accordingly. This shape is like a crescent-shaped curve, which is called an arc top.
The characteristics of the arc top are as follows:
1. The arc top shape appears in the high price area near the highest point of the currency price, which is often slightly lower than the top.
2. In the process of rising to form a top, the trading volume is huge and irregular. But after the top is formed, trading volume will drop significantly. It was not until the currency price began to fall that trading volume began to increase again.
3. The formation time of the arc top is usually relatively long, usually two to four months, or even longer, which also gives investors sufficient time to exit.
When investors encounter an arc top form, how do they find the best selling point?
1. The arc top is a signal of peaking and falling, but it has no neckline, so there is no breakthrough point. Therefore, once investors find that the currency price has risen for a period of time and then gradually stagflated, and then changed from stagflation to falling, that is The first selling point.
2. If it is determined that the stock price is in a downward trend and the rate of decline is getting faster and faster, it means that the arc top shape has been confirmed, and this is the best second selling point. #美联储利率决议来袭 #美联储利率决议来袭