So now that BTC is bullish, we have to think into the future and look at the scanarios where we would be getting bearish on BTC. This is a process that any technician should do. You have to ride the trend, but you also have to think about when to get off. Some people use price targets for this, I like to use various intermarket relationships and some indicators. So let's have a look!
Right now we are seeing a bullish BTC stochastic RSI. We want to ride BTC as long as this stays bullish. We also want to see the same downward trend in USDT.D. If we see this relationship hold, we can then look to this as a clue for when to look for a trend reversal or a ranging period. BTC looks like its starting a new short term trend. Once we see the Stochastic RSI cross bearish through the 80 mark, with the confirmation of the USDT.D crossing bullish through the 20 mark, we can say that it is time to go neutral on the market. Then we can watch and see what happens!
Happy trading!
Right now we are seeing a bullish BTC stochastic RSI. We want to ride BTC as long as this stays bullish. We also want to see the same downward trend in USDT.D. If we see this relationship hold, we can then look to this as a clue for when to look for a trend reversal or a ranging period. BTC looks like its starting a new short term trend. Once we see the Stochastic RSI cross bearish through the 80 mark, with the confirmation of the USDT.D crossing bullish through the 20 mark, we can say that it is time to go neutral on the market. Then we can watch and see what happens!
Happy trading!