BCH/USD bulls bank on dragonfly doji, gravestone doji counters, trend slides through sloping channel – Stay short hedge:
• The price of BCHUSD pair is experiencing mild bullish swings amid major bearish trend. The minor trend of BCHUSD slides through falling wedge formation (refer daily chart).
• Dragonfly doji pattern candle has occurred at $550.7 levels, ever since then, bulls began taking off rallies 21-SMAs, whereas, the gravestone doji pattern pops up at stiff resistance zone (at 571.6 levels to be precise) to counter the previous bullish sentiment (refer 4H chart).
• While both leading oscillators (RSI & Stochastic curves) coupled with trend indicators (SMA & MACD) signal intensified bullish momentum and prolonged upswings. Consequently, the bulls attempting to drag price rallies above SMAs.
• While the current price in the intermediate trend, has been sliding below EMAs despite today rallies, more dips likely on bearish EMA & MACD crossovers as both leading oscillators also substantiate bearish momentum (refer daily plotting). The strong support is seen at 576.8 levels.
• The official announcement of full BCH integration has recently flown in from the reputed firm Purse.io due to the overwhelming requests from people asking the company to deploy more coin support. Sources say that the development team at Bitcoin Cash is focusing on optimizing for fast day to day transactions. This is the sole reason why Purse chose to implement Bitcoin Cash over cryptocurrencies like Ethereum.
• Contemplating all these factors, we advocate staying short in BCH futures contracts with a view to arresting potential dips while holding BCH underlying positions.
Currency Strength Index: FxWirePro's hourly BTC spot index has shown 62 (which is bullish), while hourly USD spot index was at 96 (bullish) while articulating at 10:19 GMT.
thanks for sharing! You seem to put a lot of emphasis on doji candlesticks. How much would you relie on them in terms of %, in your overall decission making process when you weight up all the parameters available (for example, MACD, Stoch, RSI, fundamentals)? Or in other words, out of all parameters available to you, which would you assign the highest priority in your decission making?