Potential Bull Flag on EOS (High probability continuation setup)
What's cracking traders?
We have a potential Bull Flag on EOSUSD on this fine summer Sunday. For those of you who aren't aware of what a Bull Flag is - it's the most reliable bullish continuation pattern in the book. A Bull Flag occurs when a pair is in a clear uptrend, but starts correcting downwards at a very gentle angle like so:
A break above the downwards sloping channel generally always leads to continuation in line with the overall trend. When this doesn't happen, it's usually because you've been a bit too hasty drawing your channel and pair will then consolidate a little more, falling back inside the channel, before eventually breaking higher. A break above a legitimate Bull Flag failing entirely is a very rare occurrence - I actually can't remember if I've ever seen it happen!
There are two ways of playing a pattern like this:
If you are uber-bullish you can buy the channel floor (where we are at now). This is much less reliable than waiting for the break, but you also get a much a better entry.
Wait for the break - extremely reliable as mentioned above, but your entry won't be quite as good as if you'd pre-empted the pattern and bought the floor.
A break below the channel floor would invalidate the set up and suggest a deeper correction is in the works.
I'm personally very bullish EOS and I'm already long, I've taken this pattern as a signal to hold on to my margin longs rather than exiting when we breached yesterday's lows earlier in the session. I am looking for a bounce towards the flag-top and will likely add to my margin longs when/if we break. Stops are at breakeven + 1 so DRGAF if it fails (I'd rather it didn't though!)
What do you guys think? Where are we going from here? Up? Down? Sideways? To the moon? Starting to hear calls for high double digits on this one folks!
Team Aus footer by the amazing @bearone
do the lower lows and lower highs concern you at all?
Nah that's necessary for the chart pattern - it could still reverse lower, but reversals tend to be a lot steeper - this is classic minor correction PA
oh yes, been waiting for a buy setup on it. Thanks for sharing this bull flag.
No worries CK
Good call. I obviously don't have your knowledge and skill at reading the charts and trends but so far, I've done quite well using a common sense approach and leaving emotion out of it.
I'm a bit of a fan of EOS, so I hope we're both on the money?
What's your opinion on DBET? I gave it a bit of a crack as an outsider. Nothing ventured, nothing gained?
Awesome to see your analysis !
I just learned that if a coin move downward to the new channel it means that it is in the same trend thanks for that !
I'm using mostly triangle and they work very good. Most of the time I catch the break out and make it easy to scalping.
By the way, I'm heavy on EOS since 0.5$ and I will keep holding
Fantastic project
Yeah triangles are another great pattern - congrats on your EOS trade too!
Thank you =) See you around @bulleth
EOS is strange
ur strange. ¯\_(o_o)_/¯
we talk in a few years ;)
better but it on the blockchain so we remember.
lol
I just sized up to how to trade about 2 weeks ago and EOS was a main target as it seems Dan really has a vision for the platform rooted in his principles. I used the little I had to buy 8 shares which have gone up a fair bit since. I wish I could have bought more but it was a nice start
Those 8 tokens may well be worth $800 sooner or later ;)
I'm sure they will go up a lot! Though with how many are in circulation, it's hard to imagine them going up that much this year ! Maybe after some awesome developments on the eos blockchain are ready
Maybe not this year, but could still double again before Jan 1 ... Check some of my earlier posts on this ... sooooooo many haters mumbling dribble about the supply at 50c saying it wasn't going anywhere ;)
the slower the higher the better, im in EOS for the long run after seeing what Dan is capable of with steemit and steem
This trading story is slowly starting to make more sense to me. This is a good explanation, which I can hopefully remember when trying to pick my buy-in points.
I'm buying back in on what is hopefully this floor. Everything of mine sold already. I'm so bullish on EOS that I'm going to sell only 50% of my total each projected cap. Buy opportunities don't come around often for this coin anymore. This is trading against BTC, not USD.
Yeah I'm not sure about EOSBTC - I chart/trade against USD to isolate a coin's strengths and weaknesses!
I'm bullish on BTC as long as BTC dominance is high. My goal is to trade up to more BTC, regardless of how much fiat it is worth. It does make things harder, but that is my goal. Seems like anyone can make more $ in this market. If I end up with less BTC than when I started, then it was a bad trade for me.
If BTC does start to lose dominance, I'm going to move to either XEM or EOS as my primary trading vehicle. I can't imagine that dollars will even exist in 2025, so why make them your goal?
EOS had a great run. Luckily I was able to invest in it when it was $0.96. But I pulled my funds out of it and reinvested it all into Litecoin. From what i've researched, Litecoin is going to have a stronger bull run than EOS and so I wanted to take advantage of that. But other EOS HODLers are in for a great run to $10 too!
Nice work - yeah I stuffed up my EOS trading completely - at one point I had 3000 coins at 50c ... that would have been a great earner!
Not so sure about Litecoin outperforming EOS though ... EOS can do 10x from here ... not sure if LTC can manage that ;)
I'll either regret that decision or I will love it. Regardless, I'm willing to accept whatever happens. Haha. I plan on going back to EOS though. I still need to figure out how to register my EOS token too!
Here's an excellent tutorial.
This video is worth watching - compares EOS to blockchain real estate (BTC is currency or gold; Ether is oil - 'cause you need the oil/gas to grease the wheels of the contract or something).
The metaphors are a bit tortured , but the point of posting it here is that there are some very solid explanations flying around as to why we've seen nothing yet from EOS.
https://steemit.com/eos/@ash/eos-blockchain-real-estate-how-the-price-of-eos-tokens-will-increase-over-time
Hahaha yeah definitely tortured - I think transport would be better: BTC is like an antique car that is worth a whole lot but takes forever to get to A to B, Ether is like modern public transport and EOS is the free and fast public transport networks of the future!
This is a much better analogy. Also, BitShares is the decentralized autonomous bank of the future.