(Note this is on Bitstamp)
I wanted to start the week off with a look at the 2H. People who have seen my posts know that I highly value the 4H for intra-week trades. The 2H just helps us get a slightly closer look at the value of supports and resistances.
Note: I'm still net-bearish due to the daily not yet making a higher high.
This chart is essentially a snapshot comparing the market before and after our attempt at $9,100. I believe in the previous correction (left yellow rectangle) sellers were less eager to take profits, as sentiment and momentum were very high at the time. This is different than the current yellow rectangle we find ourselves in. We have not made much progress on the front of making higher lows, which I interpret as less eager buyers. The red triangle reflects the short-term bear market in which we find ourselves.
Overhead, the $8,200 resistance has proven itself to be formidable. ***I am surprised that we have not yet made a single attempt at it,*** again signaling that buyers are not as confident as the time period before touching $9,100.
A short-term descending resistance categorized by lower highs will intersect with both of the ascending supports (short, mid) in the next 6-8 days (aqua rectangle). If we have not yet made a higher high by then, I'd continue to expect bearish price action. If/when we do make a higher high (>8.2k) on the daily and sustain it with volume, I'll most likely consider the short-term correction to be over.
A sustained drop below the mid-term ascending resistance or local lows would indicate more pain.
Please like and follow if you find these helpful!
I wanted to start the week off with a look at the 2H. People who have seen my posts know that I highly value the 4H for intra-week trades. The 2H just helps us get a slightly closer look at the value of supports and resistances.
Note: I'm still net-bearish due to the daily not yet making a higher high.
This chart is essentially a snapshot comparing the market before and after our attempt at $9,100. I believe in the previous correction (left yellow rectangle) sellers were less eager to take profits, as sentiment and momentum were very high at the time. This is different than the current yellow rectangle we find ourselves in. We have not made much progress on the front of making higher lows, which I interpret as less eager buyers. The red triangle reflects the short-term bear market in which we find ourselves.
Overhead, the $8,200 resistance has proven itself to be formidable. ***I am surprised that we have not yet made a single attempt at it,*** again signaling that buyers are not as confident as the time period before touching $9,100.
A short-term descending resistance categorized by lower highs will intersect with both of the ascending supports (short, mid) in the next 6-8 days (aqua rectangle). If we have not yet made a higher high by then, I'd continue to expect bearish price action. If/when we do make a higher high (>8.2k) on the daily and sustain it with volume, I'll most likely consider the short-term correction to be over.
A sustained drop below the mid-term ascending resistance or local lows would indicate more pain.
Please like and follow if you find these helpful!