After trading multiple asset classes for years, I learned one thing: summer time trading in the U.S. is always slow whether you are in stocks, , even forex at times. These new markets may be feeling that effect as well even though the BTC drama is over. The reason for this pattern is simple: the entire world goes on vacation in August. Just look at the hotel prices in any of the Caribbean islands. It is peak season. And it's not just Americans driving that demand.
I would think by now would be back to normal and it's way below (33k? that's low). Keep in mind price can move in a low environment, but usually the moves are more random and lack follow through.
With that being said, I am still interested in buying. I am watching the 210 inverted support which now has a minor zone going up to 215. This zone is related to the .382 of the most recent upswing that was put in place yesterday. I want to see a price pattern reversal on a smaller time frame such as an hourly or 30 minute to get me into a long. Since is low, I will compensate for the additional randomness by only putting on 50% of my normal unit size. If I manage to get long my stop will be around 195 and my first target at 249.
If price falls through this minor support, the 200 to 185 is my next area to watch for reversals and depending on the price action there, I can determine my risk at that time if a reversal pattern appears according to my trading plan.
In summary, based on structures put in place so far, this market is still strong and healthy, it just needs more . I am watching for price to retrace into two particular areas, the 215 to 210 and/or the 200 to 185 for possible long positions. If there are any surprises and price falls below 160, then my evaluation is negated. Otherwise, be patient, strong markets offer plenty of opportunity.
Questions and comments welcome.
I agree the price will break 240, but this week? I dont know.
The next support is around 210 (.618 fibo), ok. But Marc, do u think the market have power for a 230 again, or better, breaking 240...this week?
And thx for the analysis.