As we mentioned above, this method can help you calculate the degree of the

reversal trend. In our case it s as follows:

Remember, the tie of a H&S pattern gives you an approximate level of what to
expect. We got close before the market continued to pump.

Another pattern that is useful to know is the double top. A double top usually
warns of a fall in price.
Above is a btc 4hr chart.
impact.

MUST pay attention at charts on a daily basis. Always assume the worst. See the
it, life and
charts go on. However, when your patterns are validated, you cannot only
conserve your wealth, but increase it as well.
We had a look at a double top, now .A
double bottom usually indicates an upcoming rise in price. Let s have a look at
the chart below.

Above is a btc 4hr chart.

Notice it? Let me give you a hint.

See it now? This is the actual double bottom that convinced me to change from
being bearish to being bullish in 2023. Evolution. I was bearish for the past year
and a half, and this pattern changed everything for me. At this point, I started
now.

w I want you to think. Read the

charts and invest in macro. In 5 months btc rose from 27k to 37k. I love macro. It
beats futures any time of the year.

double tops/bottoms are the most important for me and are relatively easier to
spot. You will get better at noticing them, the more you read charts. How long?
Six months makes a huge difference. Nine months even more. After that, your
mind draws automatic conclusions as soon as you see a chart. Everything you
learned will form a solid conclusion as soon as you see a chart.
have an economics background to do this and once you manage it, it puts you
ahead of the rest in the trading world. You are in the top 5% of traders.

As a
The hammer candlestick is a bullish trading pattern that may indicate that a stock
has reached its bottom and is positioned for trend reversal. Note that the candle
may be either red or green but in general terms, a green candle is a more robust
bullish sign.

in a chart and see if we can spot it (this should be easy).

Above is a btc daily chart.

Notice it? Easy.

Now look at the other 2 green candles next to it.

These 2 green candles serve as a confirmation of an uptrend. Only if you see this
confirmation, would you enter a long trade. Remember, this is a daily timeframe,
so I would be happy with one green candle. For a 4hr timeframe, I would want at
least 2 green candles. Always get confirmations. If not, then consider the trade as
invalidated. Never enter a trade if it s invalidated. Wishful thinking has no place
in trading. You must question everything.
The green hammer candle stick is followed by a red candle stick. As this is a daily
time frame, we abort any plans to go long. Again, always take your time to
confirm.

The inverted hammer is seen as a bullish signal. Note that the inverted hammer
can be both green and red although green is considered more bullish.

Above is a btc 4hr chart

Now remember, this is a 4hr timeframe. Look at the five green candles after our
inverted hammer.

Your train of thought should be similar to the following: This looks like an inverted

timeframe so each candle represents 4 hours. I need at least 2 green candles as

confirmation. After the first 4hr, I see a green candle. Good, we are on the right
track but in order for me to feel safe, I need a second green candle. After another
confirmation I need. I will now go
spot or if in futures I will go long. Rinse and repeat, rinse and repeat. If at any
stage one of our above steps does not play out, then the whole trade is
invalidated and we cancel everything. We go back to the hunting grounds for
another hunt. There will always be another hunt.

There are many other types of candles that you will come across, and with time

candles that I mentioned above, choosing to spend more time on trend lines and
triangles. Like I said in the beginning, this tutorial is based on my trading style and
habits. Pick it up from here. Evolve your style and surpass mine, perhaps this is
your destiny. One thing is for sure. If you are reading these final words, then you
have more weapons in your salvo to beat most traders out there.

Before I say goodbye, allow me to point out the importance of fundamentals. For
every 1 minute I spend looking at charts, I spend 2 hours looking at information.
What type of information? News headlines on anything crypto related.
Collaborations between companies, court rulings, SEC troubles (they like taking
crypto to court), basically anything I can get my hands on. A useful source for me
street and its performance.
On a daily basis I look at S&P500, QQQ, VIX and DXY levels. All the things you
studied above can be applied to them. They are just charts made from candles
and you know how to interpret them. Lastly, keep tabs on what the FED is doing.
Read their minute meetings (they usually meet once a month). Follow them on X
and as I mentioned at the start, follow their chairman as well. Listen to his
speeches. You can determine if his hawkish (tough=market usually responds by
going down) or dovish (soft=market usually responds by sideways or up). They

Good luck on this magnificent journey you are about to make. Stay safe.

CRYPTO IS POWER AND FREEDOM

.