Good morning to all of you. I hope you are well today ?
My double top technical target, already mentioned a couple days ago, with a technical target @ 46'000 has easily been filled with an intraday low reached early this morning @ 42'074.
So what next ?
This sharp downside move has, and it is obvious, triggered a TACTICAL REVERSAL ONLY !!!
Indeed, no strategic BULLISH signal (s) have been confirmed yet and that is why, recent and current price action should once again be seen as a corrective move only and not as a strategic trend reversal yet.
Technical indicators, such RSI (below 50 and currently @ 28.32) is still converging to the downside !
On a daily basis and in order to neutralise the still ongoing downside pressure, the BTCUSD should recover firstly above the former uptrend support line (in green), which is currently slightly above the psychological 50'000 level.
WEEKLY :
On the downside, plenty of space, the 78,6% Fib @ 45'883 of the 39'590-69'000 rally has also been filled, in by the way, testing the top of the weekly clouds support area and the next significant support area is between 40'000 and 39'590 (starting point of the 74 % rally or + 29'410 rally which took place from the end of September to the beginning of November.
Last but not least the 39'590 level is roughly in the middle of the weekly clouds support zone with its bottom level, currently around 36'750
ONGOING UPCOMING WEEKLY CLOSING WILL GIVE MORE CLUES FOR NEXT WEEK :-)
H4
Everything worked perfectly well, clouds, Mid Bollinger Band, Tenkan-Sen and Kijun-Sen, what else ?
Well, the picture does not look good either !!!
RSI still converging to the South !
Any recovery is corrective only and should be protected with tight stop losses.
H1 :
The recovery went up towards the 38.2% Fib ret @ 48'050 which is also the Tenkan-Sen and which for the time being rejected further upside attempt. Watch carefully this level of 48'050 as a clear breakout of this level on a hourly closing level would open the door for 49'882 ahead of 51'714.
Once again, if such kind of price action occurs, this should only be seen as a corrective tactical move in a broad strategic bear trend
For the moment 49k is resistance.. 50k also.. We might go down again
Saphiretr
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what about the biggest double top?
Ironman8848
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@Saphiretr indeed , looking at the monthly chart there is a wonderful RSI bearish divergence and effectively a “big” double top in progress !!! (Trigger level @ 28’700…) wait snd see… anyway it does not smell good
Saphiretr
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@Ironman8848, There was also a RSI negative divergence on the weekly chart and it priced with this today's dump. I do not know montly will accure before 85K.