BITSTAMP:BTCUSD   Bitcoin / U.S. Dollar

Yesterday's closing price action below the important Kijun-Sen or Base Line, currently @ 50'533 and also the top of the former sideways daily trading range (45500-50500)

As mentioned yesterday, the Doji shooting star triggered on Dec 24th has been timidly confirmed by a small black candle with a daily closing @ 50'442.

Nevertheless, so far, such kind of price action could still be seen as a "normal" consolidation corrective move with next important support zone around 48'670 ( MBB & TS cluster).

A failure to hold above this level would reopen the door for lower levels, towards the former lows (bottom of the sideways trading range).

Keep stop loss @ 48'309 on a daily basis and on a strategic trading perspective strategy.

4 HOURS (H4)

The failure, on one hand, to cross over and close above the Tenkan-Sen (in H4 closing basis) and on the other hand to hold above the Mid Bollinger Band triggered this expected corrective move
which pushed the BTCUSD towards a low so far of 49'644 (providing additional buying opportunity)

Currently traded around the important psychological 50'000 pivot level, next H4 closing level would give more clues about further development.

Watch also new ongoing downtrend resistance line (currently around 50'700), in this time frame as a successful recovery above it would add further support, calling for higher levels

1 HOUR (H1)

Currently, slightly below the H1 clouds support zone , attempting to reenter in the clouds; in addition, for the time being the Chikou-Sen or Lagging line is still in the clouds.
Watch also carefully price action in this time frame as a failure to hold at least above the bottom of the clouds or better to recover above 50'400-50'600 would maintain a short term downside risk.

Have a nice Sunday and all the best.

Ironman8848 & Jean-Pierre Burki


The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.