ICP gave us another push up after we broke the Support Zone and established support. Now we see ICP coming down to test the Push #2 high of $11.80. The price is consolidating to the upside in an ascending wedge pattern, should we short?

How do we trade this? 🤔

It is not time to short because we're still in the ascending wedge pattern and have not failed to make new highs and new lows. The earliest we should be entering a trade is when the price attempts to make a new high, fails and has broken out of the wedge.

We're looking for a sell signal (bear bar closing on or near its low with a wick top) followed by a confirmation bar (strong bear bar closing on or near its low). The likely price area to enter the short will be around $13.00, but we're still a ways from the target, so we'll have to watch the candles print to size up our entry. A higher probability of profit trade is a 1:1 short scalp to the Support Zone, making the assumption that this will play out as a pullback rather than a bear run.

We need to keep an eye on Bitcoin as it nears $45,000 again. I suspect it will fail to break the neckline but until we confirm that, we can trade as if it won't.

💡 Trade Idea 💡

Short Entry: $13.00
🟥 Stop Loss: $17.00
✅ Take Profit: $8.98
⚖️ Risk/Reward Ratio: 1:1

🔑 Key Takeaways 🔑

1. Three Pushes Up from Ascending Triangle Breakout
2. Ascending Wedge Forming
3. Look for Double Top Wedge Breakout to Short
4. Watch Bitcoins Possible Reversal from $45,800, Impact on Alt Coin Market.
5. High RSI at 63.00 below Moving Average, Supports Pullback to Support Zone.

💰 Trading Tip 💰
Ascending Wedges signal an increased probability of a bear breakout. Combined with three pushes up in a bull trend and strong sell bars (candles with large wicks on their tops), creates conditions where a counter-trend trade is reasonable.

⚠️ Risk Warning! ⚠️
Past performance is not necessarily indicative of future results. You are solely responsible for your trades. Trade at your own risk!

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