Scanning for chart patterns in real time
Autochartist makes it easier to trade successfully with its tools that automatically identifies chart and Fibonacci patterns.The daily chart of Palladium traded sharply higher throughout Thursday's session, with momentum showing a very bullish sentiment as the overall market continues to trade within a wide, sideways range. The intraday time frames reflected this near-term strength, transitioning into uptrends across the 15-, 30- 60-, and 240-minute charts.
Typically, the time frame that offers the most immediate entry is the short-term 15-minute chart. If a larger correction is to occur, the early signs of profit-taking or a pullback will often result in the reversal of an uptrending pattern such as a Rising Wedge or Channel Up.
The 15-minute chart has formed a Rising Wedge pattern over the course of the previous 31 candles. The current market cycle is in accumulation, as identified by Autochartist's three-bar Initial Trend reading. In this environment, a momentum entry can be set up to capitalize on the potential weakness that could push Palladium lower through uptrend line support at 497.90 (X). Regardless of the uptrending pattern alert, due to the sideways market movement the strategy best suited to set up an entry is the Autochartist Initial Movement/Momentum (AIM) entry. If triggered, this entry should ideally be confirmed with a Breakout reading of six bars or more, as well as a negative MACD Histogram reading.
