Since crypto is one of the most popular trading assets, it is quite usual to observe wedge patterns forming in its charts. Here it can be very easy to get kicked out of the trade for minimum loss, but if the stock moves to the benefit of the trader, it can lead to an excellent return. This means that the distance between where a trader would enter the trade and the price where they would open a stop-loss order is relatively tight. This makes the bullish pennant pattern particularly sought after, as it can offer an early indication of significant upward price action. Technical traders take this as a sign that the original ascending price move is going to resume.
What Are Falling And Rising Wedge Patterns?.
