BTC's Got Dandruff- Please, use Head and Shoudlers
1hr
BTC is trying to form the right shoulder of its Inverse H&S.
This could go either way, as there are actually 2 head and shoulders potentially forming, one larger Inverse in black and another forming in yellow.
1. RSI- has further that It could potentially go, but is has seemed to have found support at 29. This level has certainly been reactive in the past for bounces.
2. The recent volume from our spike low is still holding us at these levels and could continue to do so for the duration of this move.
3. Declining volume is good here, to muster the steam to break, on way or the other. You could practically draw a trendline sloping down from the left to right for a Volume breakout. (BTW whichever way volume breaks is the way you should trade) If i was a more patient trader I would simply wait for that moment and do what volume says at its breakout.)
Breaking 6330 Support would make me doubt it's ability for compete this pattern.
If BTC runs up to the neckline, and then passes below its right shoulder tip, then it will have negated the Inverse H&S pattern as well as completed a normal H&S pattern to the downside. (yellow humps, with a target of 6011)
I measured this from the tip of the wick, so to the upside this would give us a target of almost 7200, which was also a breakdown level.
BTC is trying to form the right shoulder of its Inverse H&S.
This could go either way, as there are actually 2 head and shoulders potentially forming, one larger Inverse in black and another forming in yellow.
1. RSI- has further that It could potentially go, but is has seemed to have found support at 29. This level has certainly been reactive in the past for bounces.
2. The recent volume from our spike low is still holding us at these levels and could continue to do so for the duration of this move.
3. Declining volume is good here, to muster the steam to break, on way or the other. You could practically draw a trendline sloping down from the left to right for a Volume breakout. (BTW whichever way volume breaks is the way you should trade) If i was a more patient trader I would simply wait for that moment and do what volume says at its breakout.)
Breaking 6330 Support would make me doubt it's ability for compete this pattern.
If BTC runs up to the neckline, and then passes below its right shoulder tip, then it will have negated the Inverse H&S pattern as well as completed a normal H&S pattern to the downside. (yellow humps, with a target of 6011)
I measured this from the tip of the wick, so to the upside this would give us a target of almost 7200, which was also a breakdown level.
Comment:
Forgot to mention: Stochastic RSI Daily is oversold, and just starting to curl up from our recent up side movement. This is good for the bulls looking for a further bounce here. This could go from oversold to overbought within the completion of this H&S if it plays out. I always try not to bet against the stochastic RSI.
