BTCUSD - Daily Candles - Downtrending Price Channel Since $3,000
Since our peak around $3,000 (green parabolic) we've been in a downtrending price channel (solid purple range) which is prone to big selloffs (dashed purple support). The low points in the two biggest selloffs out of this range touched obvious support levels.
As of 7/19/2017 at 12:15pm est, it appears that price is going to descend from the top to the lower ends of the channel. We're sitting beneath a resistance range . Short it! Watch for the price relationship relative to the 100MA and 200MA (switch to the 4 hour chart for this), observe the relationship of price to the support and resistance levels, and watch for trend reversals towards the bottom of the price channel.
If we hit that dashed purple line it will likely be a short-term buying opportunity for the bounce back. You'll want to start scaling out of a short trade a bit below the lower solid purple line, athough I think we may go as low as the $1,630's - lower support level - before turning this boat around. Wait for trend reversal confirmation before taking dramatic action.
As long as August 1st isn't the #cryptopocalypse we should head back up from the lows. Maybe we'll even breach this entire downtrending price channel in a bullish manner. Unless we have to wait until June 2020 for that...
As of 7/19/2017 at 12:15pm est, it appears that price is going to descend from the top to the lower ends of the channel. We're sitting beneath a resistance range . Short it! Watch for the price relationship relative to the 100MA and 200MA (switch to the 4 hour chart for this), observe the relationship of price to the support and resistance levels, and watch for trend reversals towards the bottom of the price channel.
If we hit that dashed purple line it will likely be a short-term buying opportunity for the bounce back. You'll want to start scaling out of a short trade a bit below the lower solid purple line, athough I think we may go as low as the $1,630's - lower support level - before turning this boat around. Wait for trend reversal confirmation before taking dramatic action.
As long as August 1st isn't the #cryptopocalypse we should head back up from the lows. Maybe we'll even breach this entire downtrending price channel in a bullish manner. Unless we have to wait until June 2020 for that...