Intro: Bitcoin is reversing nicely below our resistance, potential for a big drop.
Sell below 10826. Stop loss at 10991. Take profit at 8909.
Reason for the trading strategy (fundamentally):
There has been more positive news surrounding cryptocurrencies recently with Venezuela president saying the government has received more than 171,000 certified purchase orders for the petro, the country’s forthcoming cryptocurrency. There has also been good news from Goldman Sachs with the CIO striking a more positive note on the topic of a central bank-backed cryptocurrency, even going as far to say that they would be more useful than the coins in existence today.
Reason for the trading strategy (technically):
Price has risen further and has reacted nicely below our stop loss level and is dropping nicely. We remain bearish below 10826 resistance (Fibonacci retracement, Fibonacci extension, horizontal overlap resistance, Elliott wave structure) for a push down to 10131 support (Fibonacci retracement, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance at 95% where a corresponding reaction could occur.
Sell below 10826. Stop loss at 10991. Take profit at 8909.
Reason for the trading strategy (fundamentally):
There has been more positive news surrounding cryptocurrencies recently with Venezuela president saying the government has received more than 171,000 certified purchase orders for the petro, the country’s forthcoming cryptocurrency. There has also been good news from Goldman Sachs with the CIO striking a more positive note on the topic of a central bank-backed cryptocurrency, even going as far to say that they would be more useful than the coins in existence today.
Reason for the trading strategy (technically):
Price has risen further and has reacted nicely below our stop loss level and is dropping nicely. We remain bearish below 10826 resistance (Fibonacci retracement, Fibonacci extension, horizontal overlap resistance, Elliott wave structure) for a push down to 10131 support (Fibonacci retracement, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance at 95% where a corresponding reaction could occur.