Green 1 day candle closes back above green descending channel

BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
A great sign for the bulls as the 1 day candle has closed green above the green descending channels top trendline . However the last 4 hour candle closed as a red spinning top so we may see a dip downward in the next 4 hour candle or 2...What we want to keep an eye on is whether or not if we dip all the way back down to the green descending channels top trendline , whether or not it acts as support which it hopefully should. If so and the bounce causes that 4 hour candle to close green I will switch from neutral to long. Especially if we can get 1 more day candle to clsoe in the green or at the very least above the green descending channel trendline to confirm the breakout. Watch for the trendline to act as support and then also watch for the T line(in yellow) to potentially act as resistance...if the bulls are already feeling aggressive however we may just find ourselves making our way back up to the 50 SMA (in orange) also known as the buy sell line...once we are above the buy sell line and the t line that will be a buyers market instead of a sellers market..but we'll ened to close 3-5 candles in the 4 hour above the 50sma to confirm it which may take until after the 15th to get back there.
Comment: it's also possible we wont even go back down to test the trendline before this 1 day closes...less probable but very possible..if so the bulls are then already far mroe aggressive than I thought they'd be this soon.
Comment: today's price candle rose all the way up to the 50 SMA and then dived down hard all the way back almost to the green descending trendline on the 1 day chart...we know then now that todays current heavy resistance is the 50MA(buy sell line in orange) and the support appears to be the green trendline at this point.
Comment: We are seeing a bounce up from the green trendline confirming that at least for now it is currently acting as support...it tested it at least 3 times and was only able to dip a wick under it once. I'd say a smart move today would be to buy anwhere slightly above the green trendline and to wait and see if it bounces down again once it reaches the 50MA on the 1 day chart. if so and the sell walls on the depth chart look significant...sell somewhere immediately after a bounce down from the 50 SMA occurs
Comment: the price continues to test, retest, and retest again the green trendline...so far t's bounced off pretty much everytime(save for one wick below it) but I'm not sure how many times it can be retested before it finally gives in....all the bounces so far have only resulted in it returning back down to the trendline...It's still holding up as of ow but we need to see a bounce that isnt just a dead cat bounce, if not eventually one of these retests will find a way to break back down below it.
Comment: we have 7 inutes until the new 4 hour candle starts and we have dipped below the green trendline....if we close underneath it, it increases the probability that we will see more bearish price action to follow.
Comment: now that we have close the 4 hour candle under the green channel trendline I will be setting a stop loss udner the psychological support of 9000...I will be setting it a pip below that at 8799 to ensure that I don't stop out on a wick that will then just instantly jump back far above that and cause me further losses
Comment: Fortunately when it dipped my stop loss was low enough that it didn't trigger...and now we are back up around the 9200 range...there is a solid chance that the 4 hour candle (which will close in about an hour and a half) will close green and possibly also back above the green trendline and as a bullish reversal hammer...we will have to wait and see. If it does that's a sign that the trendline still is indeed acting as support since there would then be no follow up bearish confirmation.
Comment: the price needs to get back above 9270 to show that the channel trendline isn't now acting as resistance.
Comment: looks more likely that it will close below the green trendline the tline has knocked it back below...so I will be going short most likely...it's got 18 mintues to shoot back above the channel line
Comment: we now have a confirmation candle that has closed well under the green trendline...its time to go short....I personally am not reccomending or giving any financial advice to anyone else just saying what I will be doing...I'm gonna get risky here and set a limit buy all the way down at 8526 I may get lucky I may not...it also could fall even further down below than that.
Comment: the depth chart seems to suggest much great buying sentiment right now than selling..but seeing how hard we bounced down from teh buy sell line...i think selling momentum will find a way to miraculously break through like I've seen it do in the past.
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