Looking at the daily chart, the security's price movement has formed what's called an Ascending Triangle pattern. For us to confirm a breakout, we need the security to close above the resistance line. If it does, it's a signal that we're seeing an Upside breakout, although we should keep in mind that breakouts can happen in either direction.

Right now, the prices are hanging around the Exponential Moving Average (EMA). To truly confirm an Upside breakout, not only should it close above the resistance line, but it should also cross over the EMA. Conversely, for a Downside breakout, the security should close below the support line and the EMA.

So, our advice here is to go with the flow of the breakout, whether it's on the Upside or Downside, as long as it meets the criteria of closing above or below the resistance line and EMA.

Ascending Triangle

Oct 24 2023

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