A reclaim is when price loses a level, then closes back above it. It often says more than the break did.
$ETH just gave a clean example:
- Monday closed at 2,447, under the 2,500 level I said mattered
- Today it trades near 2,533, back above it
How I treat a reclaim:
- The level counts as support again only after a daily close above it
- The low of the break, near 2,406 (the 14-day low), is where the idea is wrong
- An intraday wick isn't enough. No close, no reclaim
Waiting for the close costs a bit of price but saves a lot of bad entries.
Do you trade the break or wait for the reclaim?
#EtherETFsExtendOutflowsToNineDays
$ETH just gave a clean example:
- Monday closed at 2,447, under the 2,500 level I said mattered
- Today it trades near 2,533, back above it
How I treat a reclaim:
- The level counts as support again only after a daily close above it
- The low of the break, near 2,406 (the 14-day low), is where the idea is wrong
- An intraday wick isn't enough. No close, no reclaim
Waiting for the close costs a bit of price but saves a lot of bad entries.
Do you trade the break or wait for the reclaim?
#EtherETFsExtendOutflowsToNineDays