Hello Fellow Traders
Here we have
BTCUSD
on hourly timeline, As you may notice it's closing in on the end of the symmetric triangle and it is expected to make a move in the next day or two.
On the upside, The resistant area has the potential to block price to climb up any further since it is backed by
two factors:
1- Blue resistant line which hasn't been broken since "20 Nov"
2- "100 Hours Moving Average" ( Depicted as the yellow line ) which hasn't been crossed since "8 Nov"
On the downside we have no strong support line down to $3600 which is more of a psychological number than a proven support line ( we simply didn't have enough price action around this number in the past to determine it's trustworthiness )
Below that we have $2950 which has been tested multiple times and shows confidence regarding to supporting the bulls.
Quick remider of how price reacted around $3600, $2950 July 2017 / October 2017.
On the 4 Hours chart we broke above the falling channel and there's a bullish divergence in RSI
Courtesy of Coindesk
On daily chart there's also a bullish divergence in sight
Courtesy of Coindesk
To conclude Closing above $4000 can validate RSI Bullish Divergence and can push the price higher.
On the other hand Closing below $3830 (trend line support) Would defuse the bullish behavior in 4 Hours chart, Causing the price heading down to retest demonstrated support zones. In the mean time if the price consolidates which is likely, we need to wait until we breakout of the symmetric triangle and take positions according to the direction of that breakout.
*Please be informed that this is not a financial advice*
Here we have
BTCUSD
on hourly timeline, As you may notice it's closing in on the end of the symmetric triangle and it is expected to make a move in the next day or two. On the upside, The resistant area has the potential to block price to climb up any further since it is backed by
two factors:
1- Blue resistant line which hasn't been broken since "20 Nov"
2- "100 Hours Moving Average" ( Depicted as the yellow line ) which hasn't been crossed since "8 Nov"
On the downside we have no strong support line down to $3600 which is more of a psychological number than a proven support line ( we simply didn't have enough price action around this number in the past to determine it's trustworthiness )
Below that we have $2950 which has been tested multiple times and shows confidence regarding to supporting the bulls.
Quick remider of how price reacted around $3600, $2950 July 2017 / October 2017.
On the 4 Hours chart we broke above the falling channel and there's a bullish divergence in RSI
On daily chart there's also a bullish divergence in sight
To conclude Closing above $4000 can validate RSI Bullish Divergence and can push the price higher.
On the other hand Closing below $3830 (trend line support) Would defuse the bullish behavior in 4 Hours chart, Causing the price heading down to retest demonstrated support zones. In the mean time if the price consolidates which is likely, we need to wait until we breakout of the symmetric triangle and take positions according to the direction of that breakout.
*Please be informed that this is not a financial advice*