For spot gold, if investors can successfully find the bottom of the market, the income will undoubtedly be very considerable. Various bottoms often appear in the gold price chart, such as wedge bottom, double bottom, arc bottom, head shoulder bottom... Although the bottom of the triangle is relatively rare, once it appears, the later increase will usually exceed our imagination , today we will introduce this form of high winning rate to you.
"Bottom triangle" is usually a buying signal for bottoming up. If it can successfully break through upwards, there will be a lot of upside, so investors should attach great importance to it. In the later stage of its formation, we should pay close attention to the changes in trading volume. Once we find that the trading volume is enlarged and the price breaks through the pressure line, we can try to go long.
Looking for the bottom triangle in the trend chart, please remember that it has the following characteristics:
1. It appears in a downtrend;
2. The gold price has bottomed out three times after experiencing a sharp drop, and they are almost all supported at the same low point, forming the lower side of the triangle;
3. After each bottoming out, the high point of the rebound keeps moving down, and the rebound becomes weaker and weaker, forming the upper side of the triangle;
4. After the third bottoming out of the gold price, the rebounding strength is strengthened, the trading volume is enlarged, and it has surpassed the upper level The pressure line stands above the pressure line;
5. When the triangle is formed, the trading volume is gradually shrinking, and even extremely shrinks, and shrinks to the minimum near the tip of the triangle;
6. When the upward breakthrough occurs, the trading volume begins to increase.
After the formation of the triangle at the bottom, there is a great possibility that the subsequent price will break through upwards. This is because after several consecutive sharp declines, the rebound of the market has become weaker and weaker. Most investors have lost confidence in the market outlook, and the rest are A determined "dead long". At this time, the energy of short selling has been fully released. If there are new forces in the market, the short side will be unable to suppress it, which will easily cause the price to rise, and a big market with great waves will be produced in this way.
There are usually two situations for the bottom triangle to break through upwards. The first one is to break through the upper line, and then go up after a withdrawal; the second is to break through the upper line and climb directly upwards, as shown in the figure below: