After every day, after every hour, we get more data around the 5k level and this is great because we need history to read out some patterns and areas which should work and which not.
Currently, we have an , or at least we can draw it. The bottom is set but the upper is a bit subjective but still, I can set it pretty clearly from the 2. April high.
At the moment, the channel middle line works perfectly as a resistance, two times it has got a rejection from it and if it breaks then we can add it easily into our confirmation list:
The movement should be confirmed after the 1H candle close:
- above the channel middle line (red)
- above the recent high (2019 high)
Let's say a candle close above $5,355, needed is the 1H candle close but perfect would be 4H candle close!
There are some minor targets but can't predict any higher targets than the 2018 July low at $5,777. Overall, the area around $5,800 should act as pretty strong resistance.
Okay, a confirmation area is set but for next - confirmation areas.
As said, the channel middle line has worked nicely as resistance and if it gets a bigger rejection from the current levels then first confirmation may come from altcoins. Look what they do, and if they start to go averagely below -2% to -3% (Daily) then prepare for the next confirmation. The next confirmation should come after the candle close below the . Yes, it is pretty far but there are some minor support levels before it and can't give any bigger confirmations above that, above $5,120.
So, a confirmation comes after the 1H candle close below the . is ascending and it is a and so as but it triggers after the breakout!!
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Have a nice day,
*This information is not a recommendation to buy or sell, it is used for educational purposes only!
Currently, we are not in the confirmation area but the price has started to approach it:
- Break below the ascending channel
- Break below the recent support
- New short-term lower low
Definitely, watch out, altcoins are on the minus side and a possible correction downwards may occur!
All the best!
@VaidoVeek, It's almost exact opposite to how I trade :) It's a trend. I like to ride the trend.
I think you chart is a really good example why diagonal lines and corridors can be (probably not by the pro) misleading and can keep "you" out of the market for no reason. :)
Here are my trade areas (I trade XBTEUR so those are not exact but close enough)
I keep margin low, 3x is max. No "all in" BS etc. Hardest part is not to get greedy.
Have fun and do not get stopped out.
To me, this area is full of crap (a lot of noise) and to make good trades we need more than one criteria matching together examples:
Breakout trade, multiple signs:
All the best!