Hello friends,
With how bitcoin has been so consistent in taking a dump the last few months (ETH even better!) I feel it is important to remind everyone the importance of being able to recognize the trend. There's a lot of things to consider when determining the outlook of the market and the trend of price is a biggie.
In this example, the moving averages are all bearish. How do you tell? It's whenever the average is lower when it is faster. When the 200ma > 100ma > 50ma, you have bearish posture. The reverse is true for bear markets. If you'll notice, during this bear market, we have been testing and failing the 200 average regularly. It is a key level in the markets.
Just a quick reminder/lesson for you all. The trend is very important to identify in trading because when you're neutral, it gives you a little favorable bias. And a little favorable bias can make a big favorable return :)
Hope you learned something.
-YoungShkreli
With how bitcoin has been so consistent in taking a dump the last few months (ETH even better!) I feel it is important to remind everyone the importance of being able to recognize the trend. There's a lot of things to consider when determining the outlook of the market and the trend of price is a biggie.
In this example, the moving averages are all bearish. How do you tell? It's whenever the average is lower when it is faster. When the 200ma > 100ma > 50ma, you have bearish posture. The reverse is true for bear markets. If you'll notice, during this bear market, we have been testing and failing the 200 average regularly. It is a key level in the markets.
Just a quick reminder/lesson for you all. The trend is very important to identify in trading because when you're neutral, it gives you a little favorable bias. And a little favorable bias can make a big favorable return :)
Hope you learned something.
-YoungShkreli
Comment:
reverse is true for bull markets*