$ADA #ADABullish

Let’s break this down further for a deeper analysis of the **ascending triangle** and how to optimize your trades.

1. Chart Pattern Analysis

The ascending triangle shown indicates a series of **higher lows** converging with a strong horizontal resistance around $1.22, a classic bullish structure. Here’s why this is significant

- Psychological Resistance: The horizontal line at $1.22 has acted as a ceiling, but repeated testing suggests buyer strength.

- Higher Lows: Buyers are stepping in at increasingly higher levels, showing accumulating demand.

- Breakout Signal: A confirmed breakout above $1.22, as shown in the chart, implies bullish continuation.

2. Short-Term Strategy

- Entry Point:

- Enter immediately after the breakout above **$1.22**.

- Or, wait for a pullback and confirmation of support at $1.22 (as seen in the retest here).

- **Target Exit**:

- Measure the height of the triangle base (approximately **$0.38**) and add it to the breakout point ($1.22).

- This gives a target near **$1.60** for short-term trades.

- **Stop Loss**:

- Place a stop-loss just below the rising trendline or the recent swing low, around **$1.15–$1.10**, to minimize downside risk.

- **Risk-Reward Ratio (RRR)**:

- Entry at $1.22, Target $1.53, Stop Loss $1.10.

- RRR = 1:3, which is favorable.

3. Long-Term Strategy

For long-term trades, align your strategy with broader market trends and higher time frames.

- **Entry Point**:

- After confirming that $1.22 has become support, aim to enter with confidence for the next leg upward.

- Look for macro indicators (like moving averages or overall market sentiment) to confirm the trend.

- **Target Exit**:

- Use Fibonacci extensions for long-term targets:

- 1.618 Fibonacci level aligns with **$1.80–$2.00**, a strong zone for potential long-term exits.

- Monitor psychological levels (e.g., $1.50, $2.00) for profit-taking.

- **Stop Loss**:

- Place your stop-loss below the pattern's base, approximately **$1.05**, to avoid unnecessary shakeouts.