PRICE ACTION
The 5m chart has been showing some volatility between 166-170; with a short burst up to 172 getting rejected quickly. Volume has been reducing.
The 4H chart continues within the broadening wedge pattern and is roughly in the middle now. As previously discussed, volume is reducing – with is a sign of slowing sentiments here. Bulls will want to see price push up to 180; while bears should be looking for a break of 160 to set up a short down to 145. Unless you are in a trade, it’s best to sit it out and wait.
The 1D shows further uncertainty with reduced volume coinciding with a large wick/small body on the current daily candle. Obviously, a lot can change over the next 15 hours; but for now, there is no clarity on this larger timeframe chart.
Finally, the weekly remains questionable at the current price action. A break of $200 will likely set up a rally through to the 52W MA @ $250; which can make for a fantastic 25% reward potential...but for now we wait for more clarity.
OPEN INTERESTS (BITFINEX)
Long: 3.79 Days
Short: 1.07 Days
RELATIVE STRENGTHS
ON BALANCE VOLUME
KEY PRICE AREAS
Resistance: 180, 190, 195
Support: 164 (28D MA), 160, 155
PREVIOUS ANALYSIS
The 5m chart has been showing some volatility between 166-170; with a short burst up to 172 getting rejected quickly. Volume has been reducing.
The 4H chart continues within the broadening wedge pattern and is roughly in the middle now. As previously discussed, volume is reducing – with is a sign of slowing sentiments here. Bulls will want to see price push up to 180; while bears should be looking for a break of 160 to set up a short down to 145. Unless you are in a trade, it’s best to sit it out and wait.
The 1D shows further uncertainty with reduced volume coinciding with a large wick/small body on the current daily candle. Obviously, a lot can change over the next 15 hours; but for now, there is no clarity on this larger timeframe chart.
Finally, the weekly remains questionable at the current price action. A break of $200 will likely set up a rally through to the 52W MA @ $250; which can make for a fantastic 25% reward potential...but for now we wait for more clarity.
OPEN INTERESTS (BITFINEX)
Long: 3.79 Days
Short: 1.07 Days
RELATIVE STRENGTHS
- Micro (5m): Bullish
- Short Term (4h): Bullish
- Mid Term (1D): Lower High
- Macro (1W): Bullish
ON BALANCE VOLUME
- Mid Term (1D): Falling
- Macro (1W): Flat
KEY PRICE AREAS
Resistance: 180, 190, 195
Support: 164 (28D MA), 160, 155
PREVIOUS ANALYSIS
Trade active:
Big daily move on the break of $200...