BTC has trended up recently. on the way up it has used the fibs from the second leg fall as resistance levels. Dipping from them and then being in a bullish breakout when above them. In a bull move, we typically want to see acceleration of this breaking of the fibs. When we see price slowing and ranging a bit more it's good to start looking for warning signs of a failure to break the fibs. Ranges and false drops often turn into different sorts of harmonic patterns signalling sells in or near the fib zones, and these can be really good trades.
The structure of higher lows breaking would be the first strong indication of the start of a fall. If there's a sharp drop breaking the previous higher lows structure, there will probably be a bullish rally immediately after that but this will set up a bigger sell and more important breaks.
almost a 10% gain to stop you out and then dump. great call!
holeyprofit
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@MrMarketMaker, Huh? This was not an entry signal. I said the move up should end by the 76% retracement level. Which is where it hit. Here was the trades forecast.
thanks god that your chart is not so wide that u couldnt keep the arrow to zero :))
holeyprofit
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@imansdz, BTC has never went to zero before. On the other hand, anyone thinking the BTC drop is limited to 50% - given its trading history, is being a bit naive. They're usually a lot bigger. Usually have a bull trap.