After our previous trade played out perfectly we where looking for a new entry back into BTC, yesterday on the 4hr we where building a rising wedge so we switched out our strategy waiting for a break up close above to re-enter for a push to the next target around 4200, we did get a spike up but was instantly hit back down again, most likely a stop hunt to clear the order books a little for margin traders.
we have since broken down from the rising wedge which imo will kick off a short term down trend.
My new target for a reentry is between the 38 and 50% retracement on this last leg at around 3750-3800, will be keeping a close on on the cci and volume to make sure we can see some short term reversal patterns.
The next leg up being back to the 4000 supply zone with eyes on for a break or again looking for a double top rejection in which case we will take profit and flip our bags short.
The daily chart showing a nice big red candle now with volume tappering back off after that rejection at 4000, although the overall market direction is still in an uptrend but a healthy retracement is needed.
To risky right now imo to open a short, i would prefer to wait for the trade to come to me and open a long position back up to the 4000 supply for a 5-6% push and will reassess on the smaller time frames if i think the move is sustainable to reach the 4200 mark.
If the 618 cant hold on the retracement then we will revisit our analysis for a different approach.
we have since broken down from the rising wedge which imo will kick off a short term down trend.
My new target for a reentry is between the 38 and 50% retracement on this last leg at around 3750-3800, will be keeping a close on on the cci and volume to make sure we can see some short term reversal patterns.
The next leg up being back to the 4000 supply zone with eyes on for a break or again looking for a double top rejection in which case we will take profit and flip our bags short.
The daily chart showing a nice big red candle now with volume tappering back off after that rejection at 4000, although the overall market direction is still in an uptrend but a healthy retracement is needed.
To risky right now imo to open a short, i would prefer to wait for the trade to come to me and open a long position back up to the 4000 supply for a 5-6% push and will reassess on the smaller time frames if i think the move is sustainable to reach the 4200 mark.
If the 618 cant hold on the retracement then we will revisit our analysis for a different approach.
Trade active:
Didnt give me another entry to long but still holding onto btc at the moment, 4200 target still in mind for the next breather and will do a fresh chart shortly