Not financial advice. Do your own research. The ideas shared here are the personal opinions of the BitDoctor team. Trade at your risk.
MFT had a good rise and fall and we are about to retest this. Retesting support is an important part of a market cycle and we're getting close. There's a chance that we will drop a little more so there's plenty of time to get a good trade setup here. The question is if you enter, where will you go and exit. Here's my thoughts on that:
1. A lot of this depends on where the "bottom" is on the retest but a trend based fib (look at the white trendlines) shows a 100% extension at 109. 161.8% at 129 and finally 261.8 at 161. I don't believe it'll get that high just for the record. I'll take the small trade and move on.
2. Fibonacci on the internal rise and fall (outlined in green) shows we just hit the 78.6 and the 88.7 is at 74 which would be a great risk/reward setup. I've got my entry right in between this at 75 satoshi.
3. The larger structure (outlined in yellow) has lots of confluence at the following level when compared to other fibs outlined above: 127-129, 160-161. Those would be a dreamer target.
If you can get an entry at 75 and an exit at the 100% extension you are looking at potential 45% reward while risking about 7%. The risk is a bit greater than I'd like. You can try and get a lower entry with same stop loss to mitigate risk a bit. I don't expect this trade to hit for a few days but if BTC is going to take a nose dive soon, I expect this to touch when that happens.
Trade safely friends!
<3 -CE-
MFT had a good rise and fall and we are about to retest this. Retesting support is an important part of a market cycle and we're getting close. There's a chance that we will drop a little more so there's plenty of time to get a good trade setup here. The question is if you enter, where will you go and exit. Here's my thoughts on that:
1. A lot of this depends on where the "bottom" is on the retest but a trend based fib (look at the white trendlines) shows a 100% extension at 109. 161.8% at 129 and finally 261.8 at 161. I don't believe it'll get that high just for the record. I'll take the small trade and move on.
2. Fibonacci on the internal rise and fall (outlined in green) shows we just hit the 78.6 and the 88.7 is at 74 which would be a great risk/reward setup. I've got my entry right in between this at 75 satoshi.
3. The larger structure (outlined in yellow) has lots of confluence at the following level when compared to other fibs outlined above: 127-129, 160-161. Those would be a dreamer target.
If you can get an entry at 75 and an exit at the 100% extension you are looking at potential 45% reward while risking about 7%. The risk is a bit greater than I'd like. You can try and get a lower entry with same stop loss to mitigate risk a bit. I don't expect this trade to hit for a few days but if BTC is going to take a nose dive soon, I expect this to touch when that happens.
Trade safely friends!
<3 -CE-