JACKIS Profile picture
In Financial Markets since 2014 Premium group: https://t.co/h07LAeAOEd Analyst: @BecauseBitcoin Trader: @BBWealthMGMT NEWSLETTER 👇

Aug 12, 2021, 19 tweets

Price Fractals 📚

In good hands, fractals can provide the ultimate edge for future price movements. In this THREAD we gonna explain exactly why

▪️ What are they?
▪️ Why are they so useful?
▪️ How to see them?
▪️ Can I mix different TFs?
▪️ How not to use them?
▪️ Examples

1/19

▪️ What is a fractal?

In simple terms, we could say they are the same repeating patterns over again.

They are ruled by the same principle and therefore we see the same or very similar outcomes.

2/19

▪️ Why are they so useful?

First of all, it is important to understand that fractals are so powerful cause they appear not just in the markets but everywhere around us, even in nature.

The same repeating patterns across different objects

3/19

The same thing is happening in the markets

And although prices may appear to be random at times, it actually creates repeating patterns

If our eye is trained well enough, we can use it to our advantage



4/19

▪️ How to see them?

This is the hard part. You have many options.

1) Remember them
2) Draw them
3) Print them
4) All of the above

Fractals take time & effort to spot but in return, you are given a high probability setup that fills you with confidence in it.

5/19

If you think about it fractal is also a very known pattern called the double bottom, head & shoulders, and so on.

The problem with these basic patterns/fractals is that they are commonly known and in the modern era very rarely works

6/19

Therefore we must look for at least a little more complex patterns that suit the modern era.

This is one that works well. You can call it the double-double bottom.

7/19

Here you can see the above pattern in practical use on $KAVA

Such a pattern would offer you an 80% move if you had the patience to wait for it.

8/19

The above is basically a pattern but once you get good at this you will start seeing the whole charts repeating in the same way and trust me, there are so many fractals out there.

Here is how crazy accurate they can be



9/19

▪️ Can I mix different Timeframes?

Absolutely. Many people claim you cannot compare 30 min chart with a Daily chart of a different coin. Why not I ask?

Price is fractal & therefore it works on any TF & any chart

The only rule is higher the TF, higher the significance

10/19

▪️ How not to use them?

You need to be sure the fractals are really the same & have the same features and the more same they are the more probability they have.

Here you can see how easily one could think it's like the other. And it is NOT

11/19

▪️ Examples

The above is a very complex & advanced use of fractals but these nuances are important in the overall picture.



12/19

Another important takeaway is that the fractal you find is only good for another leg, sometimes two and rarely more

After that price usually starts to deviate

The reason for that is that the overall higher timeframe chart is different for example as well as the context

13/19

The important takeaway is that price, in general, is fractal but the context of each situation matters a lot too.

These fractals can be used to our advantage but are only another edge & even the most perfect fractal can fail.

14/19

Fractals such as these can inform you about the current situation and give you more clarity.

In this example, most people didn't dare to believe we could keep going up and missed the boat.



15/19

Here is how I used #Ethereum & #Nasdaq fractal both different timeframes & different markets even.

Yet it has helped me to gain way more confidence in my setup & led me to buy #ETH as cheap as 120$



16/19

Another one with $VET #VET #Vechain



17/19

I also wanna say thank you to @visualisealpha for providing the illustrations.

We had very little time to do it but we are ready for the next round with more info.

Definitely give him a follow 🤝

18/19

I hope you have found this thread once again valuable & it will serve you well.

If you did, please consider sharing it with your friends. It takes a lot of free time to put these together & sharing costs nothing.

Thank you & bless you 🙌

19/19

Share this Scrolly Tale with your friends.

A Scrolly Tale is a new way to read Twitter threads with a more visually immersive experience.
Discover more beautiful Scrolly Tales like this.

Keep scrolling