ROUNDING BOTTOM PATTERN (BULLISH)
(CLICK ON ABOVE IMAGE FOR CANDLE STICK CHART VIEW)
The rounding bottom pattern is a bullish reversal pattern that indicates a potential trend reversal in a security's price. It gets its name from the shape it creates on a price chart – a rounded bottom with a gentle slope. This pattern is formed when the price of a security falls to a new low, then rallies and consolidates into a rounded shape before breaking out to the upside.
Enter a long position once the price breaks out above the resistance level formed by the rounding bottom pattern.
Note : It's important to note that the ROUNDING BOTTOM pattern is just one of many chart patterns used in technical analysis, and traders should always use multiple indicators and techniques to confirm their analysis before making trading decisions
Disclaimer: This analysis is purely for educational purpose and does not contain any recommendation. Please consult your financial advisor before taking any financial decision.
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