What is a falling wedge pattern?

It is a bullish reversal pattern which appears in the swing low of downtrends.

How to confirm a falling wedge pattern?

To confirm a falling wedge pattern, there must be at least three touches at the levels of trend lines.

When does the falling wedge pattern become tradable?

The falling wedge pattern becomes tradable once the price breaks out above the resistance trendline in the pattern with a bullish candle.

When is the trading entry confirmed?

After a valid breakout and bearish correction, the trading entry is confirmed. However, the price may move higher without any retracement in some cases.

What is the ideal stop-loss approach?

The ideal stop-loss approach is to set the limit below the near-term swing low with some buffer.

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How To Trade Crypto Using Falling Wedge Pattern

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June 15, 2022