Sorry ahead of time for it being a mess.
For the first time ever, I am posting the chart I use for day-trading.
It has every single support and resistance in this range.
It has predicted $500+ moves so far, on multiple occasions.
I am not trying to be bragadocious here, I am simply trying to point out that every single line here represents something important.
The last time this chart was touched was 10 days ago.
I would like to point out a few VERY key details I see when reflecting upon the recent price movements, which may suggest momentum is building.
-
The box I have located at the $3,460 range has been there since we first started climbing from the bottom.
I have had buy orders waiting in that box since the 24th of last month. If you'll notice, price wicked twice VERY briefly inside the box. The price did not sustain long in this box and has since found support around $3,570. This box basically represents what has been in my opinion the safest buy for this range.
-
After falling dramatically to the $3,570 support line from our local top, price rallied hard to re-test the resistance trend-line. This resistance again produced a bearish rejection, but consolidated in a falling wedge pattern. Upon breakout of the bullish falling wedge, price managed to again rally up to the trend line resistance, this time breaking through. The breakout of this trend line created a very fast, high volume spike in price.
Price action is consolidating in between the $3,570 support, and this diagonal trend line. The apex of this consolidation is around 4 days from now, but I expect there to be a reaction at some point within the next day or two.
This diagonal line that price is currently consolidating against is in my opinion the strongest resistance we are currently facing. A high volume breakout of this trend line or support WILL produce a very, very big candle.
-
The .618 which lies at $3,550 has so far held incredibly well, but I am becoming suspicious at just how long it has been holding. Any breaks below have resulted in a bullish wick, but any breaks above have resulted in bearish rejection. Price was only able to confirm 3 6h candles before immediately retracing back above with a huge green candle.
-
The RSI has been printing consistent higher lows since Jan 13th, insinuating the bulls have been scooping up any overextensions of bearish pressure. RSI is getting rejected at the bullish 50 level, but has so far bounced 3 times off support at the 40 level. RSI 40 is historically known as the typical support where bullish momentum begins to take control, though it doesn't usually take this long.
Price action is not completely confirming these movements however, as hidden bearish divergence has again formed in our most recent high. Price needs to confirm above $3,680 in order to invalidate.
3d RSI is showing bullish divergence:
-
The MACD on the daily has crossed bearish but is beginning to curl.
The MACD on the 5d time frame is showing a bullish cross for the first time since July.
-
Candles!
On the 3 day time frame, there was a massive bearish rejection followed by 2 dojis. This indicates indecision. After such a large move down, this would theoretically signal that the bears have or are beginning to lose control. One week has gone by so far, and no follow through from the bears?
The 2d shows even more confusion from the market.
Bearish rejection followed by a doji, 2 hammers, and another VERY small doji. An entire week so far of indecision. Whichever move may follow will be a big one..
I still maintain my view that we are short-term bullish.
This is a massive, massive bart forming if I've ever seen one.
If we are and have been in an accumulation range ever since that fall from $4,100, lookout above..
For the first time ever, I am posting the chart I use for day-trading.
It has every single support and resistance in this range.
It has predicted $500+ moves so far, on multiple occasions.
I am not trying to be bragadocious here, I am simply trying to point out that every single line here represents something important.
The last time this chart was touched was 10 days ago.
I would like to point out a few VERY key details I see when reflecting upon the recent price movements, which may suggest momentum is building.
-
The box I have located at the $3,460 range has been there since we first started climbing from the bottom.
I have had buy orders waiting in that box since the 24th of last month. If you'll notice, price wicked twice VERY briefly inside the box. The price did not sustain long in this box and has since found support around $3,570. This box basically represents what has been in my opinion the safest buy for this range.
-
After falling dramatically to the $3,570 support line from our local top, price rallied hard to re-test the resistance trend-line. This resistance again produced a bearish rejection, but consolidated in a falling wedge pattern. Upon breakout of the bullish falling wedge, price managed to again rally up to the trend line resistance, this time breaking through. The breakout of this trend line created a very fast, high volume spike in price.
Price action is consolidating in between the $3,570 support, and this diagonal trend line. The apex of this consolidation is around 4 days from now, but I expect there to be a reaction at some point within the next day or two.
This diagonal line that price is currently consolidating against is in my opinion the strongest resistance we are currently facing. A high volume breakout of this trend line or support WILL produce a very, very big candle.
-
The .618 which lies at $3,550 has so far held incredibly well, but I am becoming suspicious at just how long it has been holding. Any breaks below have resulted in a bullish wick, but any breaks above have resulted in bearish rejection. Price was only able to confirm 3 6h candles before immediately retracing back above with a huge green candle.
-
The RSI has been printing consistent higher lows since Jan 13th, insinuating the bulls have been scooping up any overextensions of bearish pressure. RSI is getting rejected at the bullish 50 level, but has so far bounced 3 times off support at the 40 level. RSI 40 is historically known as the typical support where bullish momentum begins to take control, though it doesn't usually take this long.
Price action is not completely confirming these movements however, as hidden bearish divergence has again formed in our most recent high. Price needs to confirm above $3,680 in order to invalidate.
3d RSI is showing bullish divergence:
-
The MACD on the daily has crossed bearish but is beginning to curl.
The MACD on the 5d time frame is showing a bullish cross for the first time since July.
-
Candles!
On the 3 day time frame, there was a massive bearish rejection followed by 2 dojis. This indicates indecision. After such a large move down, this would theoretically signal that the bears have or are beginning to lose control. One week has gone by so far, and no follow through from the bears?
The 2d shows even more confusion from the market.
Bearish rejection followed by a doji, 2 hammers, and another VERY small doji. An entire week so far of indecision. Whichever move may follow will be a big one..
I still maintain my view that we are short-term bullish.
This is a massive, massive bart forming if I've ever seen one.
If we are and have been in an accumulation range ever since that fall from $4,100, lookout above..
Comment:
This is what my chart looked like 18 days ago.
Trade active:
That moment when your month-long buy-line gets hit almost to the dollar:
LONG
