Taking $ONDO as an example, let's discuss the three selling structures and Chan theory "The Trend Must Be Perfect". Many people will believe that the decline has stopped at the 200ma level on the 4-hour chart. If we draw the context, this is just the end of the second sell; a third sell after a rebound is needed to conform to "The Trend Must Be Perfect".
Why am I so sure there will be a third sell? The 4-hour chart does not have a bottom divergence, and we need another second test for it to be a true 4-hour bottoming structure. Of course, making a 30-minute rebound trade is not a problem.
The next trend prediction is as shown in the diagram, with about 80% probability; I’ll take a gamble, and if I lose, I’ll post a sexy photo.
When studying Chan theory, don’t just memorize; always consider everything comprehensively.