BTC is still safely above its 50MA and its 200MA. Note that the 50MA is pointing upwards and the 200MA is pointing sideways. If the support levels hold strong and if and when BTC is able to push above the Upper Resistance Zone and the Pitchfork Median Line then........ we will witness a GOLDEN CROSS on this 1D timeframe.
BTC is back above its Bollinger Bands Middle Band Basis 20 Period SMA for this 1D timeframe.
Note that the Upper Band is starting to point downwards and the lower Band is pointing upwards indicating volatility has slowed on this 1D timeframe. With this consolidation, we are seeing the start of a potential Bollinger Band Pinch, which could lead to a big volatility induced move.
BTC has found some resistance from its Least Squares Moving Average (LSMA). Note that a daily close ABOVE the LSMA is a potential buy signal.
BTC is above its Volume Profile Visible Range Point of Control (VPVR POC) for this charts visible range.
At the moment, BTC is fighting to stay above its Volume Profile Fixed Range Point of Control (VPFR POC) the the fixed range of 14 daily candles that I’ve selected.
Volume has increased and note that yesterday and today’s volume Bar are above its Volume 20 Period Moving Average.
BTC is still in an Upwards Pitchfork Pattern (A,B,C). Note that BTC has crossed under the Pitchfork Median Line (Middle Dashed Line). The Pitchfork Median Line is a crucial level to cross and close back above.
BTC has found strong resistance from its Upper Resistance Area of $50,604 - $49,087.
BTC has now found strong support from its new Support Area of $46,693 - $46,231.
If i just use the Ichimoku Cloud (Kumo) without the other IC indicatiors, you can clearly see that BTC has found VERY STRONG support from the Ichimoku Cloud Leading Span B (Senkou Span B) support Level. This level also coincides with the new Support Area I’ve added.
If we look at the Average Directional Index (ADX DI) we can see the trend strength has dropped with the ADX (Orange Line) at 26.50 and still under its 9 Period EMA which is at 31.22. The +DI (Green Line) is pointing upwards at 18.46 and the -DI (Red Line) is pointing downwards at 14.86. This means that while the Trend strength has dropped, Positive Momentum has actually increased and Negative Momentum has decreased. The further the +DI (Green Line) gets away from the -DI (Red Line) the better.
The Relative Strength Index (RSI) is indicating Momentum is upwards at the Moment. Note that the RSI (Purple Line) is pointing upwards and looking like it may cross back above its 9 Period EMA (Red Line), this will be a good sign of upwards momentum strength for this 1D timeframe if that happens. Note that the RSI still has plenty of room to move up before becoming overbought on this 1D timeframe.
If you are uncertain to go long, then confirmation will be when BTC successfully crosses ABOVE and CLOSES a daily candle ABOVE the Upper Resistance Area. If you are uncertain to go short, then you would wait for BTC to successfully break UNDER and CLOSE a daily candle UNDER the New Support Area and the Leading Span B (Senkou Span B) support Level.
Remember that a close ABOVE the LSMA is also a potential BUY signal for this indicator. Full Bullish Confirmation on this 1D Timeframe will be when the Leading Span A (Senkou Span A) crosses back above the Leading Span B (Senkou Span B) cloud support creating a Cloud (Kumo) Twist a new Bullish Green Cloud for this 1D timeframe.
Also, don't forget to get your cameras ready for when that 50MA & 200MA Golden Cross happens. ;-)
I hope this is helpful with your Trading and Hodl-ing..... cause it does take a while to type it all up :-)
Notes for those that don’t know:
50MA = Yellow Squiggly Line on chart 200MA = Red Squiggly Line on chart LSMA = Black Squiggly Line on chart Bollinger Bands = Grey Bands on chart on chart Ichimoku Cloud = Red and Green fluffy Cloud on chart Pitchfork = A,B,C Lines on chart VPVR POC = Long Horizontal Red Line on chart VPFR POC = Short Horizontal Red Line on chart Volume Bars = Bottom of Chart Volume Moving Average = Black Line going through Volume Bars Support and Resistance Areas = Horizontal Black Lines with Yellow Shading
Comment
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Quick Update:
BTC closed yesterday back ABOVE its Volume Profile Fixed Range Point of Control (VPFR POC) and is now trying to break into its resistance zone, to do this BTC needs to get back above its LSMA level and stay there.
Appreciate all the sacrificial fingerwork you relentlessly put in to provide us with these amazing updates. :)
Snacks
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Thanks for the information and additional explanation. Its very helpful.
raoultesla
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entertheroach
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@raoultesla, It's not wrong, you're using Exponential Moving Averages but I've used Simple Moving Averages on my chart post.
peterbhc
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I have been watching for the golden cross - seems so far away, 14 days maybe??
entertheroach
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@peterbhc, Could be, or could be longer, but it does depend on if BTC continues ranging sideways within its support zones which or if we suddenly get an influx of positive momentum & manage to break above its resistance area sooner. Should be a very interesting 2 - 3 weeks.