The leading cryptocurrency is forming a lets have a look on this pattern.
1. After initial X to A leg the A to B leg is retraced between 0.382 to 0.50 Fibonacci level which is perfect fit for A to B leg of BAT.
2. After formation of A to B the B to C leg is projected between 0.382 to 0.886 of A to B leg as required for BAT .
3. After completion of B to C leg the C to D which is the final leg is in process and it should be retraced between 0.786 to 0.886 Fibonacci and this area will be a perfect potential reversal zone for price action of Bitcoin coz here the will be completed with all required dimensions.
The Moving averages and Oscillators:
If we see the movement of simple moving averages with time period of 100 and 200 then it can be clearly seen that 100 is moving down and likely to form a death cross with 100 and this death cross can lead the price action more down and will give an opportunity to to visit oversold zone which is at the moment at 39.95 and having more space to move down.
The Moving Average Convergence Divergence is also very strong and indicating that the bears can drive the priceline more down.
is in oversold and still in bear cross.
When to buy?
After analyzing all this situation we can expect that the price action will must enter the potential reversal zone of pattern which is from $8006 to $7692 we just need to wait for below signals before placing the buying orders.
1. The price action should enter the potential reversal zone of .
2. should be oversold (with the value of 30 or more down)
3. The should have given bull cross
4. The Moving Average Convergence Divergence ( ) should give at least weak signals (for that you can see the histogram of like it is in dark red color at this time when it will be changed to dull red it means it has turned weak )
When all above conditions will be met then we can buy and ideally we can sell between 0.382 to 0.786 area of C to D leg which is from $8757.0 to $9883.4 how ever if the candle stick on day chart will be closed above 0.786 Fibonacci level then it can produce more powerful move to hit between $11000 to $12000 levels.
However the buying and sell targets are as below for secure trade:
Buy between: 8006 to 7692
Sell between: 8757.0 to 9883.4
Atif Akbar (moon333)