BTC - Ascending Wedge and Possible Head and Shoulders forming
Wolves,
We have a H&S pattern forming on the 1H chart with RSI bearish divergence also appearing (yellow) indicating a possible drop pending which would confirm the head pattern.
We currently have 2 trend line supports - short term (yellow) and the ascending wedge (blue), if we fall through both, this would confirm the head pattern and could see us head back to the 7850 mark before a bounce, thus starting the right shoulder pattern.
Action to take - If we fall through the short term support (yellow) I will open a short, starting with a relatively small position and adding to it once we break the ascending wedge support (blue)
Short targets -
Short term
8600-8650
8500-8550
8400-8450
8200-8250
7950-8000
Mid term
6600-6700
4800-5000
We have a H&S pattern forming on the 1H chart with RSI bearish divergence also appearing (yellow) indicating a possible drop pending which would confirm the head pattern.
We currently have 2 trend line supports - short term (yellow) and the ascending wedge (blue), if we fall through both, this would confirm the head pattern and could see us head back to the 7850 mark before a bounce, thus starting the right shoulder pattern.
Action to take - If we fall through the short term support (yellow) I will open a short, starting with a relatively small position and adding to it once we break the ascending wedge support (blue)
Short targets -
Short term
8600-8650
8500-8550
8400-8450
8200-8250
7950-8000
Mid term
6600-6700
4800-5000
Comment:
Heres a look at the bigger picture -
Trade active
