Little change since my last update, but what has changed, is my short-term outlook.
In my last update, price action was constrained to a triangle, and bound between two very close levels of support and resistance. However, volume and volatility remained subdued, and we never got the big move many were expecting, while BTC traded sideways, slowly moving past our yellow box (see previous update). I believe we will see more of the same in the short term. What was a triangle, looks to be shaping into more of a wedge, where the floor is a fixed/flat level near 9,200-10,000 and the top part of the wedge is a descending trendline. A very similar pattern can be seen from July of 2018 to November of 2018. Additionally, there is still the potential bull flag formation, as price action remains between the blue parallel channel.
There is quite a bit going on in the charts at this time, between potential bull flags, triangles, wedges, trendline breaks, support, resistance, and so on. Because of that, it’s best to simply leave any interesting formations on the chart, and reassess each day. For now, I remain neutral on BTC, as there are many factors, both positive and negative, that may be indicative of future price action.
In my last update, price action was constrained to a triangle, and bound between two very close levels of support and resistance. However, volume and volatility remained subdued, and we never got the big move many were expecting, while BTC traded sideways, slowly moving past our yellow box (see previous update). I believe we will see more of the same in the short term. What was a triangle, looks to be shaping into more of a wedge, where the floor is a fixed/flat level near 9,200-10,000 and the top part of the wedge is a descending trendline. A very similar pattern can be seen from July of 2018 to November of 2018. Additionally, there is still the potential bull flag formation, as price action remains between the blue parallel channel.
There is quite a bit going on in the charts at this time, between potential bull flags, triangles, wedges, trendline breaks, support, resistance, and so on. Because of that, it’s best to simply leave any interesting formations on the chart, and reassess each day. For now, I remain neutral on BTC, as there are many factors, both positive and negative, that may be indicative of future price action.
Comment:
One note on the chart above, please disregard the MA's (10 and 41). I use those for weekly as they correspond to 50 and 200 day daily MA's. But tsince the above chart is a daily chart, a 10/41 daily MA doesn't really do anything for me. Simply forgot to hide them or update to 50/200. Thanks.