Bitcoin Friday Update: Next Trade Points
Overnight Bitcoin only managed to rally as high as the
previous low at 9453 in this run and never stuck the final
short stop which was just above 9500 before falling away
another 1100 points to make a low, so far, two support lines
lower on this chart at 8422 after a new intraday low at 8370.
Once more we have the spike low at 06:00 gmt and a
secondary low at 09:30gmt. That 'sketchy' lower parallel
drawn out yesterday actually proved the perfect near term
down-side target as it struck the junction of the parallel and
the fixed support line at 8356 at the now customary 06:00
gmt low. If you managed to close out shorts there or on the
secondary low off the line at 8356 around 09:30 then you have
traded very well indeed. Hats off to that. We've had 4 waves
down and yet again another near term double bottom so there
is a chance that it could find bottom here. But upside is being
held back by the 8736 line now . If still short lower stop again
to 8915 or can close out here around 8600. The next short
triggers on a break below 8350 for a move back to 7835 and
potentially to 7547 on Bitfinex feed..
Upside
Bitcoin is trying hard to rally but it feels like bots here just
grinding through sell orders right now. It will have to break
above the 8744 line for a quick rally to the 9012 line and as
high as the upper parallel before it falls away again. Day
traders will likely take that trade but swing longs are going to
have to stay patient until the upper parallel is broken through
to the upside. If we see it happen today or into tomorrrow we
can follow with stops under the parallel or wait for a
successful retest from above once broken if preferred . But
until then it's really a day traders' market now until we see
the low broken on downside or the upper parallel broken on
upside.
Overnight Bitcoin only managed to rally as high as the
previous low at 9453 in this run and never stuck the final
short stop which was just above 9500 before falling away
another 1100 points to make a low, so far, two support lines
lower on this chart at 8422 after a new intraday low at 8370.
Once more we have the spike low at 06:00 gmt and a
secondary low at 09:30gmt. That 'sketchy' lower parallel
drawn out yesterday actually proved the perfect near term
down-side target as it struck the junction of the parallel and
the fixed support line at 8356 at the now customary 06:00
gmt low. If you managed to close out shorts there or on the
secondary low off the line at 8356 around 09:30 then you have
traded very well indeed. Hats off to that. We've had 4 waves
down and yet again another near term double bottom so there
is a chance that it could find bottom here. But upside is being
held back by the 8736 line now . If still short lower stop again
to 8915 or can close out here around 8600. The next short
triggers on a break below 8350 for a move back to 7835 and
potentially to 7547 on Bitfinex feed..
Upside
Bitcoin is trying hard to rally but it feels like bots here just
grinding through sell orders right now. It will have to break
above the 8744 line for a quick rally to the 9012 line and as
high as the upper parallel before it falls away again. Day
traders will likely take that trade but swing longs are going to
have to stay patient until the upper parallel is broken through
to the upside. If we see it happen today or into tomorrrow we
can follow with stops under the parallel or wait for a
successful retest from above once broken if preferred . But
until then it's really a day traders' market now until we see
the low broken on downside or the upper parallel broken on
upside.
Continuation patterns within the down-trend - not much has changed all day. It has not made any V bottom as in the old days (2017). It's still stunned and reeling from the two massive punches it received in midweek.
Trapped within another criss-cross quiz of competing parallels and fighting itself to near standstill now.
There is no damn trade really, still.
A break above the upper falling small parallel (so many now) should tempt day traders and break hunters back long and it should then rally to the uppermost parallel for a decent nearterm long if we see it and there is a some volume rise. Then would come the big test - to break free of the down-trend and effect a miraculous escape (it's Bitcoin and the weekend coming so there is a possibility, so shock or not we still need to be prepared for ANYTHING ! As best we can, at any rate.
That's the dream scenario as a rising BItcoin makes more people happy than a falling Bitcoin, in general, unless a trader in which case you don't really give a damn either way. All we need is a moving bItcoin. Which way doesn't really matter. Just move, though!
May just about to be proved wrong now (rather hope so too, a weakness) but whilst unable to break above this small parallel just above it now Bitcoin is still in a vulnerable place.
Downside support lies at 8356, then 7835 and 7547 on Bitfinex. A break beloow any listed level should lead to further weakness down to the next with 7547 probably the best chance of serious support emerging before the lows at 6000.