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jacobcanfield
Jan 12, 2020 5:12 PM

What will happen on this third hidden bearish divergence? 

BITMEX:XBTUSD.P1D
Bitcoin / US Dollar Perpetual Inverse Swap ContractBitMEX

Description

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A high quality signal from the past August of 2019.

A hidden bearish divergence is when price makes a lower low but RSI makes a higher high.

On this chart, we can see that we've had two hidden bearish divergences on this downtrend move.

The other thing I see from a high time frame perspective is the lower highs that have been rejected at former weekly resistance levels.

We can also see the weekly RSI is moving into a transition zone similar to 2018.



For this to be invalidated, we need to see a close above $9900 (in my opinion.)

This may play out down to $7400 (weekly open), $7150 (yearly open) or lower depending on the strength of the bears.

It'll be interesting to see how this plays out.

Let me know what you guys think in the comments. As always, if you enjoy my content, hit me with a like. Appreciated.

Comment

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I also forgot to include my CME futures Bitcoin analysis.

We did breakout of one downtrend resistance, but recently wicked up to the 200MA (daily) that held us as support before the China pump

Invalidation would be a break and close above 200MA in my opinion

Hidden bear div also present on daily RSI.

Comment

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Haha... Get rekt noob trader.
Trend AnalysisOscillatorsMoving AveragesBitcoin (Cryptocurrency)BTCBTCUSDTBTCUSDxbtXBTUSD
Comments
UnknownUnicorn1375590
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Refreshing to see this post calling for continuity of the bear trend, when most other posts are jumping onto a bull run.
V.interesting photo showing long-term resistance & support levels for both price action & RSI. I gotta save, this is gold.
Tbjbu2
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Lmfao get rekt noob trader
maddognd
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Not that I care for indicators, but that's a bullish divergence buddy. Are these the kind of signals you give on your website?
BlackAce
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loooool, who noob?
magimuffin
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this is hidden bullish. not bearish.
JP902
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@magimuffin, my thoughts as i see long term as hidden bullish and short term as hidden bearish
wargolynch
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@magimuffin, Omg ... No !
Seriously, read about hidden divergences.
This was a potential hidden bear divergence. But ... Since the RSI did not pass under 50 level again, it never found validation, so there is no divergence at all ;)
wargolynch
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Really it's not hard guys, look for the divergences articles on Babypips, very good documentation !
JP902
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@Maped, thanks mate yeah will go for it.
Queen_B
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A hidden bearish divergence is when price goes lower but rsi goes higher. Ok so what is a bullish divergence cause that’s what I thought it was. Please
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