So this entire year's bull run has left a lot of people in the dust who were waiting for a 31-41% correction to buy in. Everyone was expecting one as early as the upper 5k range but the correction never came. In fact only a few minor bear trap corrections have occured this entire bull run. Looking at this ascending green trendline on the weekly stoch rsi we can see hat it had propped up the price action and prevented any major correction the majority of the bull run and it only just recently finally broke below it. It is now well on it's way back up to retest whether or not the trendline has been flipped to solidified resistance and, spoiler alert: since the green ascending trendline is about to reach the 100 level of the stochrsi it definitely will be resistance. It looks by the trajectory of both the trendline and the stochrsi's blue line that they will both converge a 100 right around July 1st. Due to this and he fact that we have gaps to fill on the cme futures contract some all the way down around 8.5k I wouldn't be surprised if we see he correction after throwing a wick up to the current bull flag target of 12253.13. In fact we may not even reach the full breakout target if one of the 3 white horizontal resistance lines rejects it first(the 11699 horizontal looking the most subastantial out of the 3). All things considered, I may begin to ladder out small amounts of my position with my first limit sell take profit at 11699 and my second one a 12253.I will be keeping a close eye on when the stoch rsi reaches 100 beecause I think it will retest it before the big rejection. It may move slower than I anticipate o where w could climb o he next resistance around 17k before it gets rejected bu judging by how close it is already I doubt it.
10600 close area respected 4 times. The next 1,4 hr close above 10900 is very important targeting 12/12500 area
There is also hidden bullish divergence on 1 hr chart with rsi and macd
DrDovetail
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@Jocoin, i think the triangle is legit...can you post a snapshot of the hidden bullish divergence?
@Jocoin, what's your thoughts on the gaps on CME futures around 8.5k?
Jocoin
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@DrDovetail, I really dont believe in anything control the coin path/behavior/price action, if you read my original idea you will understand how i came up with such analysis and what to expect in the future depending on previous and current behavior for the coin. i have used most of indicators and methods without success because they are simply tell you what will happen after it did happen . so they are only useful when we use it the proper way in the right time frames depend on the coin history
DrDovetail
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@Jocoin, thanks I hear many people say that gaps always get filled and backtesting the CME futures chart this seems to hold true so it's nice to talk to a skilled technical analyst who feels that doesn' have to be the case . I agree basing your decisions off of indicators is not a good way to be successful and I use most of them simply for confluence.
Jocoin
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@DrDovetail, Many ppl says a lot of things and most of times they are wrong or right by chance
So i only believe in what the market movements tell me especially when it comes to trading crypto everything change i have learnt the hard way by losing money not only studying
Every coin in crypto has its own behavior and even some coins share the same path or bullish and bear trend at same time together i divide them in groups
When it comes to btc is the king and whole crypto market based on btc but its still coin like any other that has its own behavior but in bigger/longer frames and time combining this concept with knowledge and indicators is what i find the best for crypto
JoshuaVanier
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Where would you place a stop loss, if you want to see if the market goes higher, but limit loss if a correction occurs
DrDovetail
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@JoshuaVanier, i will put limit sells of small portions of my holdings at 11699 and again at 12253. I might then put at stoploss buy back in around 12510 so if I'm wrong minimal damage done.
There is also hidden bullish divergence on 1 hr chart with rsi and macd