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Crypto · price-structure setup

Resistance rejection on Optimism

On Optimism the resistance rejection showed up 74 times. The target came first 38% of the time, the stop 59%, and 3% went nowhere within 12 candles.

Counted on Optimism (OP/USDT): daily candles from June 2022, 4-hour candles from June 2022 and hourly candles from June 2022.

By timeframe

TimeframeFoundTarget firstStop firstWent nowhere
Daily10%100%0%
4-hour1020%80%0%
Hourly6341%56%3%

Optimism against the rest

ChartsFoundTarget firstStop firstWent nowhere
Optimism7438%59%3%
All Crypto charts2,10636%55%9%
Every market2,88936%56%8%

Year by year

YearFoundTarget firstStop first
20231242%58%
20242236%59%
20252438%58%
20261436%64%

The last 8 times

Counted by the Trading Class research engine on real past candles: entry at the signal candle's close, target 1.5 × ATR(14), stop 1 × ATR(14), 12 candles to decide, a candle that touches both counts as the stop. How we count. Past data, not a forecast and not advice.

What the resistance rejection is

Price rose back to a level that stopped it before, and turned down again.

Throw a ball up in a room and it bounces off the ceiling and falls. Resistance is a price ceiling where rises stopped before, because sellers were waiting there. A resistance rejection is when price climbs back to that ceiling and gets pushed down again.

The full resistance rejection lesson, video and quiz ›

Other patterns on Optimism

Inside bar · Stochastic bullish cross · Stochastic bearish cross · Spinning top · Volume profile bounce · Volume profile rejection · Doji · MACD bullish cross · MACD bearish cross · EMA 9/21 bearish cross · all of them

The resistance rejection elsewhere

Ethereum · Bitcoin · Solana · Litecoin · NEAR Protocol · Chainlink · Uniswap · BNB · Cardano · Polkadot · EUR/JPY

Questions

How often does the resistance rejection work on Optimism?

In 74 cases on Optimism, the target (1.5 × ATR) came before the stop (1 × ATR) 38% of the time and the stop came first 59%; 3% went nowhere within 12 candles.

What is the resistance rejection?

Price rose back to a level that stopped it before, and turned down again.