BTC Set For Bounce & Dive - 2 Scenarious to Consider
Notice how we are at the bottom of the oversold zone for the stochastic. I see a possible bounce, and correction coming. Here are my 2 scenarios, as per the All-Powerful Magical Fib Circles that have served us thus far with amazing insight on future movements.
1) I think a strong candle is highly possible, considering past action (even though past events don't guarantee future movements). The stochastic on the 4-hour is at rock-bottom, so it is highly likely in my opinion. That's not a hard thing to consider at this point. In this scenario, I would pay close attention to the top of the yellow parallel trading zone. We've seen significant resistance to the top of the channel enough times that this wouldn't be surprising. There is a possibility of rejection at the top of the channel. Being that we are still in the midst of an overall downward trend, we could see a pivot at that point and movement back down towards the Big Red 3.618 and a continuance of the downward trend. As we approach the end of October, trading could definitely keep moving down until we have a strong enough event that breaks the trend.
2) If BTC breaks the top of the yellow parallel trading zone, this scenario could play out as we have seen from September 2nd to September 19th that ended with the massive dump. My attention will be on what happens at the top line of the purple trading channel that I have extended for this purpose. If we reach the top of the purple zone, there is a high possibility of another rejection which would move us down to the Big Red 3.618 that has had lots of action in the past. While I see no evidence this early in the trend of breaking this barrier, I think it will take another significant technical indicator to power the price line above that point. The downward trend has to be significantly broken to prove to me that the bearish trend is over.
Past performance is not indicative of future results, so my safe bet is to assume that it will continue to influence the action. It's all I have to go by until proven otherwise. Let's keep a close watch on the parallel trading zones, and watch as it plays out!
Not financial advice. Entertainment purposes only.
Carlton Flowers
The Crypto Pro
1) I think a strong candle is highly possible, considering past action (even though past events don't guarantee future movements). The stochastic on the 4-hour is at rock-bottom, so it is highly likely in my opinion. That's not a hard thing to consider at this point. In this scenario, I would pay close attention to the top of the yellow parallel trading zone. We've seen significant resistance to the top of the channel enough times that this wouldn't be surprising. There is a possibility of rejection at the top of the channel. Being that we are still in the midst of an overall downward trend, we could see a pivot at that point and movement back down towards the Big Red 3.618 and a continuance of the downward trend. As we approach the end of October, trading could definitely keep moving down until we have a strong enough event that breaks the trend.
2) If BTC breaks the top of the yellow parallel trading zone, this scenario could play out as we have seen from September 2nd to September 19th that ended with the massive dump. My attention will be on what happens at the top line of the purple trading channel that I have extended for this purpose. If we reach the top of the purple zone, there is a high possibility of another rejection which would move us down to the Big Red 3.618 that has had lots of action in the past. While I see no evidence this early in the trend of breaking this barrier, I think it will take another significant technical indicator to power the price line above that point. The downward trend has to be significantly broken to prove to me that the bearish trend is over.
Past performance is not indicative of future results, so my safe bet is to assume that it will continue to influence the action. It's all I have to go by until proven otherwise. Let's keep a close watch on the parallel trading zones, and watch as it plays out!
Not financial advice. Entertainment purposes only.
Carlton Flowers
The Crypto Pro
Comment:
GANG, we are SOLIDLY following Scenario 1 almost to a tee. The only thing that we did NOT see was topping out at the roof of the parallel trading channel before the downward movement. We are headed straight to the Big Red 3.618, where I would expect a bounce, or a rapid drop. I will be releasing a new Idea within the next few days once I analyze the indicators!