I started building a long position on Saturday and that position has been fully entered as of this morning. I updated yesterday’s post after my $9,751 order was filled to say that I adjusted my last order to $9,455. I wanted to enter there because of of horizontal support, and the 26 day MA on the 6 hour chart.
After waking up this morning I am happy to see that everything is still going according to plan! The price dipped down to $9,381 before getting a bounce. From here I expect the bulls to build momentum heading into Monday morning.
I like how fast we pulled back over the previous 8 hours, losing 4% of value in that time. In my opinion that smells of a “shakeout before the breakout”. The price pulls back violently and scares the weak hands and skittish longs into closing out. It also entices bears to FOMO short sell.
Then the price quickly reverses and liquidatations / buyer FOMO provide the rocket fuel needed to break through $10,000.
My view will remain unchanged as long as the price remains above $9,000 - which is where the stop loss remains. If not in a position now could be a good time to build a long.
There should be good support at $9,500. It will have horizontal support as well as the 26 day EMA (6 hour chart). I have found the 26 day EMA to be very useful because it is the default on GDAX and that is the order book many traders watch.
Kindly note that I am working on cleaning up my chart. All of those dots appeared out of nowhere this morning. Before it was just my posts and now it seems like every post is putting a dot on my chart. I am still struggling to change it after a quick Google search, so if anyone knows how to help it would be greatly appreciated!
Happy trading and smash that follow!
After waking up this morning I am happy to see that everything is still going according to plan! The price dipped down to $9,381 before getting a bounce. From here I expect the bulls to build momentum heading into Monday morning.
I like how fast we pulled back over the previous 8 hours, losing 4% of value in that time. In my opinion that smells of a “shakeout before the breakout”. The price pulls back violently and scares the weak hands and skittish longs into closing out. It also entices bears to FOMO short sell.
Then the price quickly reverses and liquidatations / buyer FOMO provide the rocket fuel needed to break through $10,000.
My view will remain unchanged as long as the price remains above $9,000 - which is where the stop loss remains. If not in a position now could be a good time to build a long.
There should be good support at $9,500. It will have horizontal support as well as the 26 day EMA (6 hour chart). I have found the 26 day EMA to be very useful because it is the default on GDAX and that is the order book many traders watch.
Kindly note that I am working on cleaning up my chart. All of those dots appeared out of nowhere this morning. Before it was just my posts and now it seems like every post is putting a dot on my chart. I am still struggling to change it after a quick Google search, so if anyone knows how to help it would be greatly appreciated!
Happy trading and smash that follow!
Comment:
I have been monitoring the charts closely and decided to move my stop loss to $8,724. That is due to how fast we have fallen and the established horizontal support I have seen from $8,750 - $9,200. Do what you think is best.
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