Bitcoin / US Dollar Perpetual Inverse Swap ContractBitMEX
Description
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Hello there, fellow traders!
Quick educational post today, with potentially useful insight for your trading practice.
You probably have noticed already: trading is never ending war for price territory. And you probably have learned also about fibonacci levels. Standard ones, like 0.382, 0.5, 0.618 etc.
Still, there are a few other levels which, used in tandem, are capable to provide a clear picture of the battlefield, if you will.
So, here is a map you may want to keep for your reference. Traders will work inside this structure as long as there is an overall indecision regarding what is fair price.
Eventually, one side will "speak louder", and come out victorious, breaking the structure, and moving price to a new range. Then, new trenches and fight zones will be defined, and the process will start over.
Of course, there is more to price analysis than this, but it is for sure a useful way to look at it.
Hope you like it and that it helps you on your trading journey.