𝐇𝐨𝐰 𝐭𝐨 𝐈𝐝𝐞𝐧𝐭𝐢𝐟𝐲 𝐚 𝐃𝐨𝐰𝐧𝐭𝐫𝐞𝐧𝐝 — 𝐒𝐢𝐦𝐩𝐥𝐞 𝐆𝐮𝐢𝐝𝐞

If you want to know when the market is going down, here are some easy ways to spot it:

1. Highs & Lows:

When the price keeps making lower highs and lower lows, the market is in a downtrend.

2. Fibonacci Levels:

After a small bounce, if the price falls again from certain levels, it usually keeps going down.

3. Support Levels:

If the price breaks below important support levels, more drops can follow.

4. Channel Patterns:

If the price is moving within a downward channel, it means the market is trending down.

5. Flag Patterns:

A small upward move after a big drop can form a flag pattern — usually, the price falls again after that.

6. Volume:

When the price drops with higher volume, it means sellers are getting stronger.

7. Moving Average:

If the price stays below the moving average line, the trend is still down.

8. MA Crossover:

When a short moving average crosses below a longer one, the market is likely to stay bearish.

9. Elliott Waves:

In a downtrend, prices often fall in 5 steps (waves), showing the trend is continuing.

Conclusion:

By watching these signs, you can tell if the market is going down. It helps you avoid losses or find good chances to sell or short.

Which of these methods do you already use? Let me know in the comments!