Good morning, traders. There hasn't been a lot of action over night. As discussed during yesterday's live stream, Bitcoin's current price position has supply and demand searching for enough liquidity to get a trend going. Yesterday's drop and $200 rebound appears to have led to the printing of a flag. If so, then the target is the same supply zone that rejected price about 4 days ago. Popping into that supply again may be enough to take out the remaining orders so that price can continue up. Remember, price has to close above the ascending dotted resistance to signal that continued upward momentum, but if it does then the target based on the widest point of the horizontal broadening wedge is a minimum of $240 above the point of breach. The full target would be $400 above that breach point. This means that we should expect price to reach the R3 pivot on the H4 TF, and possibly even the R5 pivot. As discussed yesterday, a breakdown of this wedge should have price targeting the S2 pivot followed by the S4 pivot. RSI moved above its resistance and then retested it as support.
The D1 chart shows the large, possible flag, pattern still printing. There are three targets associated with that pattern. The lowest target would print a possible double/triple top around $4200. This target is based on a possible descending wedge that is printing as noted within the large, possible flag. The next higher target is based on the height of the descending channel that makes up the flag. The highest target is based on the height of the flagpole leading up to that possible flag. Notice the two higher targets complete within the supply zones noted. So there remains a lot of possibility at this time, but until price follows through the are only possibilities. As such, traders need to remain vigilant and should be spending most of their time bettering their risk management.
As mentioned yesterday, what we really need to see in the short term is price closing above the pivot and POC (Point of Control) on both TFs. The POC is the orange line and the pivot is the bright yellow line. If it does, then the odds of reaching these much higher targets is significantly increased.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
The D1 chart shows the large, possible flag, pattern still printing. There are three targets associated with that pattern. The lowest target would print a possible double/triple top around $4200. This target is based on a possible descending wedge that is printing as noted within the large, possible flag. The next higher target is based on the height of the descending channel that makes up the flag. The highest target is based on the height of the flagpole leading up to that possible flag. Notice the two higher targets complete within the supply zones noted. So there remains a lot of possibility at this time, but until price follows through the are only possibilities. As such, traders need to remain vigilant and should be spending most of their time bettering their risk management.
As mentioned yesterday, what we really need to see in the short term is price closing above the pivot and POC (Point of Control) on both TFs. The POC is the orange line and the pivot is the bright yellow line. If it does, then the odds of reaching these much higher targets is significantly increased.
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
