The .618 fib is the top black line this is the layer of resistance we need to close over to see an upward move.
Currently we are battling away to close over the 200EMA if we do close above the 200EMA it doesn't mean this is over it means the 200EMA goes to war with the .618FIB. The candle we are all waiting for has the red arrows beside it..
Being the weekend and not as much buying power tomorrows candle will probably bounce between the 2 then break low again below the 200EMA. The reason I would suggest this is we lack , and being a sunday we don't expect to get massive pouring into the market. If this was happening 9AM on a Monday morning you would have to take into account that we could see strong buys come and pick us up.
Now below here is how to trade the BTC , IF we close above the 200EMA just HOLD or if already in fiat just stay out for an entry........ The next daily candle may bounce between the fib and or it will break. We wait for the break.
Long Trade Below
If we break the .618 FIB don't even bother to wait for the candle to close over the .618 (black line) just take the aggressive entry, I say this because if we break through it you still have 200EMA for support. Set stop loss just below the 200EMA.
Short Trade Below
Short trade is more likely then the long as we lack momentum and will most probably break low yet again, but this may be tomorrow.
Now if this daily candle closes below the 200EMA sell immediately. Rebuy level at second black level line $8344 only rebuy on the bounce off this target. If we close over the 200 just hold and wait for the break low.
I hope this helps BTC is making it easy for us at the moment and day traders will be making a fortune.
Dollars and Sense People come join us for more!
Just a quick update as i thought we are back between the fib and 200 ema this daily candle close will tell us all the answers but as you will see BTC is looking quite weak.