Why is Ethereum so weak?
What is the law of trading triangles?
How to get the most important trading information from the K-line? For example, how to find support and resistance levels in an uptrend or downtrend?
Hello everyone, this is Guoyanyunyan, a leek who is too lazy to post articles. It doesn’t matter whether you pay attention to me or not. 😀
First of all, let’s talk about the reasons why Ethereum is very weak. Figure 1, I think one of them is that the selling volume is far greater than the buying volume. This large drop at the weekly level, the volume of the Yin line is far greater than the volume of the Yang line. Only when the selling volume is far greater than the buying volume, a coin will fall sharply, and vice versa.
When Ethereum 2100 to 2800, 30% of the spot profit, will you run? Many people ran, so it was loose again. When the two cakes fell every day, the buying volume gradually increased in the upward trend starting from 2100, and the retail investors had more chips, why did the dealer pull it up? I have never seen such a saint in the world who gave millions of dollars to institutions and others. This is the so-called volatile market in the so-called dense chip area. Those who are stubborn will either laugh to the end or bear the pain of cutting their losses.
Okay, the second knowledge point. Look at Figure 2. Except for a few stocks and virtual currencies with one-sided market conditions, most of them are in line with the principle of triangle trading. This is the so-called principle of symmetry, which is what the @Old九歌 friends said is the so-called mirror image.
Okay, it's the third most important knowledge point. Look at Figure 3
Whether it is a Yin line or a Yang line, the lower shadow of the Yin line in the trend to the closing price is called a decline rebound, and the lowest point of the decline is a short-term support, that is, the buying volume increases.
The upper shadow of the Yang line from the high point to the closing price is called a high-rise fall, and the highest point is the pressure line. Attention!! The closing price of the daily and weekly lines can also be a support level and a pressure level.
The following is an analysis from the perspective of ether.
The current price of Ether is 263X. In the previous trend daily K-line 2728-2310, the second negative K-line is the lower shadow 2650-closing price 2675, and the third negative lower shadow 2634-2657. Therefore, in this rising range of Ether, you will see a fall back after hitting 2675. From the daily trend of 2150-2728, a negative K-line of 2675 that hit a high and fell back, this is the so-called pressure line.
Symmetrical trading in the triangle area, figure it out yourself. The principle of shorting the pressure line and going long on the support line comes from this. Just pay attention to the trading volume. A breakthrough with volume is not a top.