Rocking It but coming to important resistance here too - can stay long to 8545 if day trading - and if intending to run it would still use the dynamic under price as exit as it can still have one more collapse...don't stay too full-on unless 8545 can be busted above now....needs to consolidate some really but it's Bitcoin . It does what it wants. Day traders will close out and get long lower or if not and it powers through 8545 they have to buy back again once it does...
As usual the spike on Bitstamp is bigger and the body is exactly on the 8545 resistance line - so churning back to the lower parallel but the uptrend remains in tact whilst the lower parallel holds up - day traders as usual did the 'right' thing in short term but swings are Ok too so long as the parallel holds up, this remains strong. Can continue to run a trailing stop in head under the parallel for now
AbC First move was 1400 points and this is is 1300 - all longs should have been shut down just under 8300 and day traders look smart so far today...ideally it will rinse out back to 7600 and give a chance of a long from there with tight stops- it's come 2500 points from the low, up 45% in 30 or so hours flat. Only Bitcoin can do this !
If it now breaks below the lower small parallel of this continuation channel it will unravel again faster - but so long as it stays within the channel this is just storing up energy for the next pulse higher again...can buy it again once it exits the upper
parallel - otherwise we wait for lower prices still.
Bodies of candles show clear meat of the selling was from the blue line at 8545
Now right on th enext support line with a drop to 7800 if it fails here - these are the lines that day traders tend to use to trade between
Continuation pattern that stays good so long as the lower big rising parallel stays good - a buy/add on break above the 8332 -
Bitcoin Bitfinex Chart
the initial breakout failed - see that some new followers have found their way here - welcome. So now am nervous about experience - please if new only watch and paper trade. This channel is really dedicated to more experienced traders.
Anyway, despitethe earlier failure Bitcoin has rallied from the support line precisely and is in early stages of the next rally - it can come back to the upperparallel again and even drift lower towards the lower rising parallel - but so long as it remains above 7959 on Bitfinex it remains positive . Any fall below here will tip Bitcoin back into negative territory again and force it lower still, most likely back to 7548-7450 range where the rally would be likely to resume