There aren't really any investment tips here but I'll be focusing mostly on the current look at the market structure. Here's basically what I'm seeing right now.
1. Moving averages (4H timeframe)
We're looking at the 25/50/100/200 moving averages and they're all bullish right now and they have been for a few days now. Natrurally after a $300 candle things are going to start crossing bullish. What does that mean though. We haven't seen bullish crosses like this since December 2018. The only thing that we have going against us is the lack of bullish volume. We're seeing high volume candles, but so far they've been red candles. This isn't the greatest sign.
2. Channels.
We have two channels that I believe we're in right now. When you put them together we're creating the triangle that is shown. I'll talk about the triangle (wedge) in the next point. As for the channels, though, we've got an orange bearish channel and a cyan bullish channel. You can see that we're getting support on both of them. We're seeing more support at the median of the bearish channel but we broke the median on the bullish channel quite a while ago. Naturally there will be a gravitation to the median of the channel and whoever is controlling the price action will expect the price to break. This brings me to the wedge.
3. Wedge formation
This is what everyone is looking at. Of course I won't get into Elliot Wave theory but simply the wedge that we're in is pretty darn clear if you ask me... until it's broken. We're expecting a push up to the top of this wedge to continue to validate this wedge that we're in. It's pretty clear we have gotten our lower trendline of the wedge and we're basically confirmed on the downtrend resistance as well. I'm looking at $3825 as our major resistance. This is decreased from $4400, $4230, $4100, and now potentially $3825.
I continue to agree with this wedge formation until it's broken. If we break $3825 then I believe we will retest the median and reach approximately $3900 or $3950.
Trade safely friends.
<3 -CE-
1. Moving averages (4H timeframe)
We're looking at the 25/50/100/200 moving averages and they're all bullish right now and they have been for a few days now. Natrurally after a $300 candle things are going to start crossing bullish. What does that mean though. We haven't seen bullish crosses like this since December 2018. The only thing that we have going against us is the lack of bullish volume. We're seeing high volume candles, but so far they've been red candles. This isn't the greatest sign.
2. Channels.
We have two channels that I believe we're in right now. When you put them together we're creating the triangle that is shown. I'll talk about the triangle (wedge) in the next point. As for the channels, though, we've got an orange bearish channel and a cyan bullish channel. You can see that we're getting support on both of them. We're seeing more support at the median of the bearish channel but we broke the median on the bullish channel quite a while ago. Naturally there will be a gravitation to the median of the channel and whoever is controlling the price action will expect the price to break. This brings me to the wedge.
3. Wedge formation
This is what everyone is looking at. Of course I won't get into Elliot Wave theory but simply the wedge that we're in is pretty darn clear if you ask me... until it's broken. We're expecting a push up to the top of this wedge to continue to validate this wedge that we're in. It's pretty clear we have gotten our lower trendline of the wedge and we're basically confirmed on the downtrend resistance as well. I'm looking at $3825 as our major resistance. This is decreased from $4400, $4230, $4100, and now potentially $3825.
I continue to agree with this wedge formation until it's broken. If we break $3825 then I believe we will retest the median and reach approximately $3900 or $3950.
Trade safely friends.
<3 -CE-
