Bullish Points and Figures

Bullish Points and Figures

For this post, I use the point-n-figure chart of Total (Crypto Market index). PNF chart gives another fresh view of the market when analysts mess in bars and candles. Normally, classical PNF charts don’t translate data about volume, but Tradingview PNF allows us to add volume to every column. And this feature adds a great value.

Let’s look TOTAL on the wide view.

What is on background

1] Great pump from spring/2019. Big volume represents the effort of bulls to overcome the black line of resistance. Their effort accompanied by great progress in price advance. By thus, bulls claimed their control over this level. That is why I plotted green square here.

Last Nov-Dec days, the price did back down to the green square. And what can we read from the chart?

  • 2] Panic volume. A fast decline in price attracted people to sell their coins.
  • 3] Absorption of Panic. Extra-high volume but little progress for bears. It means major interests open their pockets (BUY-LIMITs) to fill them with cheap cryptos.
  • 4] Selling pressure exhausted. Red volumes go smaller on every next column. Time for bulls to stop hiding and get on stage.
  • 5] Bullish change. Price pumps amid increasing volume. 

What is next

Currently, TOTAL already broke the black line of resistance. Bulls defended their Green Zone. Now the price is heading up. We have an A-B-C sequence of rising extremums. Project new extremum. Point D should be higher than B.

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