UPDATE 1: Long plays are in effect. Target range was effectively reached. BTCUSD & LTCUSD hit corresponding support zones simultaneously. LTCUSD was the trade taken due to its underperformance in the drop. Reminds me of the way Silver does the same thing in major drops with Gold. Both are viable long candidates with their high degree of correlation.
Don't get complacent now that they have established new support, they are both still very volatile. I am still trading longs in and out with tight stops until price totally stabilizes. Buy only with proper buy entry set ups don't be impatient. The last distribution and climax were very small compared to all the others so pay attention incase more volume shows up.
P.S. Seeing so much chatter about Zynga, China, India, Blah, Blah blah on social...Its really hurting folks who need good information or think that any of that is useful info. "Funnymental" trading will get you in trouble trading, in this arena everyone thinks they know something. Truth is anything worth knowing will always be kept secret from you.
****None of the people in your social networks have the hot tip 1st...NONE**** Believe this you must! In here everything you need to know is in the price. Price is the only thing that pays you. No opinions, not a hot tip on Google, linkedin, twitter, yahoo etc.... When is the last time Warren Buffet tweeted out to you his trade and why?? Never!. People who get Billion dollar hot tips don't post them to the planet on social media to make the information worthless...that doesn't even make sense if you think about it. When you finally hear about it, it will be well after it they have already made the move or it will be shrouded with so much bad info you won't be able to discern in time. I'm a technician I don't read news I read charts! Stick to charts they have a story to tell! Good luck happy trading to all:)
Comments
lix
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'Stick to charts they have a story to tell!' words of wisdom !
scottzman
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so do you think were range bound for while?? I would love to see another big flush though
Kazonomics
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Can't positively say we are range bound just yet but its a pretty good assumption to make until proven wrong. Generally after a parabolic like that, with a high of 988 coming off a starting low of 420, the market needs a break. The majority of the volume has been at 700 so that's and easy area to look for support. BTC now has a very clearly visible double top at 963 level with those wicks to 988. Look for a smaller rising wedge to form against the 963 Resistance level with the bottom rising from the last dump low that finished yesterday in the accumulation area with a low of 721. There wasn't as much volume with yesterdays low as I would have like to have seen so there could still be hold outs that were to stubborn to get shook out so there could be another dump move still lurking, can't be sure but I will deal with that monster when it peaks its ugly head around the corner again.
Unfortunately in my experience dumps never show up when you want them or are expecting them to just to give you a discounted price to buy....that's one of the things that makes the panic so real and the opportunities "around" them so profitable. Panic equals a purely emotional response to a logical problem usually because one is taken by surprise and doesn't have enough information to make an informed decision in the time he or she feels they have to....this is what creates the opportunities in the market, but you must be quick to recognize it an act on it. The greater the fear the closer your are to end.
P.S. Good logic - "Don't ever try to catch a falling knife" - Give this some thought before you jump in front of a speeding train. A dump depending on time frame can be 40, 60 or 100 bars from start to finish. Are you really hoping to pick the 1 bar thats the bottom out of 40-100 and use that as a viable strategy over the long term? Your chance of success is 1/40 to 1/100 or worse sometimes....statistically impossible strategy to maintain over the longer term. Rather consider identifying support and resistance areas then lowering your time frame to identify emerging trends to participate in or looking for large time frame trend that is already established to which you can buy into that still have good identifiable risk reward. GL
T1elo
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Fun fact: 7.5 years later ,on a daily show we experience live a knife catch
P.S The trigger was on point! :)