Predicting a market bottom is very difficult and the probability to hit the top or bottom of the market is very low. Real traders shouldn't do this either. However, we still have our own ways of identifying a high or low chance of a market creating a top or bottom.

Markets always leave signals through price action. So we can find clues to predict the direction of market movement through that price action. Here are the signals that help Traders to identify the market creating a top (reverse bottom, everyone).

1. When the RSI reaches 70 on the D1 chart, it shows that the market is gradually going into an overbought state, at the same time you pay more attention to momentum. If the upside momentum slows down and the price also starts to stabilize within a range, it is a strong sign of a reversal.

2. The Gravestone Doji candlestick pattern (also known as the headstone Doji pattern) is a bearish reversal candlestick pattern, indicating a downside possibility. This candlestick pattern shows that a lack of buyers holding positions at high prices is slowly taking profits. When the price ends near where it started after the rejection of the higher price also confirms this pattern was formed.

3. Next is the hanging man pattern (also known as the hangman pattern). If the market opens higher than the previous one but fails to break through the previous session's opening price (meaning the session ends as a bearish candlestick) then this is a sign of buyers. are declining a transaction at a higher price. This signal is also a typical bearish reversal sign.

4. When the market opened below the trading range of the previous trading sessions, but the candle never crossed the lowest price of those sessions. That is the first sign that the market is likely to fall into a new sideways market.

5. The market starts to open higher but closes lower than in previous sessions which is also a sign that the price is entering the distribution phase.

6. The widening range of the daily average and the volatility starting to increase is also a sign that the market is likely to reverse.

7. On the day when the gap increases with large volume, then there is a high possibility that prices will decrease to important price zones with large volume.

8. When the price goes beyond all the moving averages, the possibility of a reversal will be very high at least as the price will surpass MA 5 and MA 10.

9. A major event or news is released with little or no strong price volatility and the market has no catalysts left to drive prices further, a reversal is likely.

These 9 trading tricks are just small factors that help traders recognize a short-term peak that can last a few pants or a few months on a timeframe like D1 or W1. However, when more factors converge, the possibility of a reversal will be higher. Hope these tips help you in trading.