Using Linear Regression of Second Derivative script, we can see that the momentum is down, but that down momentum is actually decreasing, as the downward histogram is making a higher low compared to prior histogram. Also, Breakout Signals script is showing yellow squares at the bottom. This means that the EMAs are stacked correctly, there is a compression(it’s getting ready for a move), the velocity is increasing(price is accelerating) and the DI+ is increasing and DI- is decreasing. All these factors, when combined, give us a high probability that the coin will go up(although nothing is guaranteed in trading which is why we are using stops to protect ourselves from losses)
Our Target is the top of that Keltner Channel which has a length of 21, multiplier of 2.86 and ATR length of 14.
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