Bitcoin broke above the 9537 line here and then moved up to
testthe upper parallel, making an 02:15gmt/21:15est high
within the first hour of far East opening before falling away
\again to an 08:15gmt/03:15est low right on the blue support
line at 9373 before bouncing again on European interest at the
lower levels. Now it's bounced to touch the first line of
resistance at 9537 once more and day traders are taking a fast
200 point win and cashing back out again many of whom have
shorted at the usual 06:00gmt traditional short time and made
200 down and now 200 up again. At the moment Bitcoin is still
in day-traders' and scalpers' territory with no killer swings to
trade as yet. It's still trapped in a downtrend but is at least
trying to form a higher low so far today and therefore showing
first signs that this downwave is running out of downside
momentum. In very near term it's gone into a small
continuation pattern and is trying to break above the 9537
line where fixed and dynamics converge - tiny pins below and
above price forming on 15 minute chart meaninga big battle is
raging below the surface here.
Things only begin to turn positive again now when the 9537
line is retaken and held by the bulls - that will likely lead to a
test of the upper parallel again at 9682-9715 - and then the
big test... Bitcoin has to break and hold above the 9715 level
before the last bear will back off. It would be yet another
brilliant escape act by Bitcoin if it can manage this at any
point today, attracting every bull still left in town back to the
game and should be followed higher if we see this price action
But until then Bitcoin is effectively trapped at these lower
levels and the downtrend remains in force - but it's not super-
here, just mildly so - and so we need to watch it here
to see if it tries to break above the smallest parallel of the
continuation pattern - if so can follow with stops below 9480.
Otherwise we wait for lower values still.
...meanwhile it really does look like every last bull in town has joined the rally now - fantastic bear engulfing green streak -best for long time. Bitcoin is back and rocking it - back to buying dips now - just watch your stops. Directional calls are ususally Ok- it's the stops that need watching and calibrating - if you can master this (not always easy) you will make some very good returns .
Struggling to push above the little flag - these are the patterns that some of you will remember back in the days when Bitcoin was in its bull-run - if waiting to trade this the next long comes when the flag or continuation pattern it's now forming is broken to the updside and and add when 10343 is retaken by the bulls - until then it's neutral to mildly bearish whilst unwinding, so long asthe lower parallel is held now and ideally the blue line it now testing - if so all good still and if this is a flag even more positive still...probably has more forming to do yet and may well shift to a less acute angle of descent but so long as the low off 10200 can be held the bulls are still in control - and if not then the bears will begin to push but won't get far whilst the lowerparallel of the continuation pattern holds up...
A failed break but the sharks can't get their teeth into much whilst the bait-ball is saying within the safety of the parallels - and when it pokes above the upper parallel will return to the deep and leave the ball in tact to rise higher - the sharks will return though if they see the ball forced down below 10098 - and then the whales who are slower to reach the commotion - and try to eat every last sardine in the ball
Life in the ocean is much the same as trading Bitcoin sometimes.
Bitcoin is trying to break the upper parallel now and is a buy once 10235 is broken above on the next dip with stops about 120 lower - need to see some green now to know the break is good