BTCUSDT: Too early to call reverse head and shoulders
A lot of traders are predicting an inverse head and shoulders pattern on BTC. It is very tempting and human nature to seek out patterns when we look at charts. But without price or indicator confirmation it is premature to call a reversal just yet.
Yesterday BTC made a lower shadow candle testing the key 6000 area support zone. Today we want a bullish engulfing candle to confirm this reversal.
So far the market is clearly undecided. We have made two unsuccessfuly attempts to push into the 6300 zone but have not been able to defend those levels on any significant time frame.
If an hourly candle closes above 6380 we will enter with 15% of our capital. If BTC falls again it will likely go through the 6000 level and we will target prices near 5850-5900.
Yesterday BTC made a lower shadow candle testing the key 6000 area support zone. Today we want a bullish engulfing candle to confirm this reversal.
So far the market is clearly undecided. We have made two unsuccessfuly attempts to push into the 6300 zone but have not been able to defend those levels on any significant time frame.
If an hourly candle closes above 6380 we will enter with 15% of our capital. If BTC falls again it will likely go through the 6000 level and we will target prices near 5850-5900.
Trade active
BTC has consistantly followed the channels edge for the past 3 days. It has recently show sustained upwards momentum over the last severals hours.
Stochastics on the daily chart are primed for a reversal. Aggressive traders can enter with a small percentage of capital between: 6340 - 6380
Our targets will be:
1. 6530
2. 6800
3. 7500
Stoploss: Hourly candle close below 6200.