The best technical analysis models will help you predict the price of digital currency
Chart analysis is an important tool in predicting the price of digital currency. Here are ten technical analysis models that may help you understand price movement and predict its trends:
1. Ascending and Descending Channels: This model shows the price trend within a specific price channel, as the price tends to rise in ascending channels and decrease in descending channels.
2. Head and Shoulders pattern: It indicates a change in trend, as this pattern appears when an intermediate peak (head) forms between two higher peaks (shoulders).
3. Triangles: Triangles include patterns such as the ascending and descending triangle and the symmetrical triangle, and the price breaking the boundaries of the triangle usually indicates a new trend.
4. Pennant Flag Pattern: This pattern is formed after a strong price movement, and the trading volume appears to multiply with the continuation of the trend, and when the price breaks the borders of the flag, it tends to continue the previous trend.
5. Flag pattern: It is very similar to the trending flag pattern, but it is characterized by sloping horizontal support and resistance lines, and the price breaking the flag usually indicates a continuation of the previous trend.
6. Wedge pattern: A wedge is formed when a support line and a resistance line intersect in a direction heading toward expansion, and the price breaking one of the wedge’s borders indicates a new trend.
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