Riding the waves

BTCE:BTCUSD   Bitcoin / Dollar
Trading is like riding waves. It's like the market is an organism. Every action will create a reaction which is by itself a action for the next reaction.
What does this mean to this chart?

First wave: Someone bought the bitcoin price up (action). Someone follow that trend to earn some profit and also buy (reaction). It's starts to scalable. And more reactions comming in to create new actions.
Exect the same is happening to the opposite. ppl             taking profit, bagholder etc.

I guess the rest of my points you already know, so that I don't need to write them down.

Next point of this chart are the Fibonacci levels. With wave one we hit the 0.5. Same happend during the dontrend from wave one, also 0.5. But the interesting points is that also the secound move after wave one is creating a wave by hitting fib. level 0.764 which gives usually a good sell sign.

RSI show us the same.

But never trade by just have a look into one timeframe/TA.
This sounds plausible in itself. But overall in larger time-frames we are still in an uptrend and we already had a correction down to below $550.

We are currently very slowly reversing that correction. I was short yesterday, until I noticed my error.
ChartArt altcoin_invest
But those are only straight lines and I don't believe in straight lines having any value to predict anything - while as you said - the price moves in waves.
@ChartArt, Too bad price action didn't follow @altcoin_invest's chart exactly to that question mark at.... oh wait, yes it did.
+1 Reply
United States
United Kingdom
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out