The 'corona crash' has produced a very uncertain market in a narrow trading range on short time-frames.
Zooming out to a 1-month view shows us the larger market structure at play.
Price is now caught between 2 strong levels. A break above or below will indicate market direction.
With MACD now in the red, momentum is down.
During the current monthly candle, price needs to return all the way up to the blue trendline to indicate panic stations are over and the bull run will continue into April. At this point, that would be a surprising end to March, but certainly possible.
If the downwards momentum holds, and panic in the financial markets continues, we may at least test that lower level around $3100 and settle there as long as a month or two so the market digests what has just taken place.
Traders will attempt to scalp the market with short-time frame trades within narrow ranges and high volatility.
We will update with some of the Signals from the Sparkster Backtester.
Zooming out to a 1-month view shows us the larger market structure at play.
Price is now caught between 2 strong levels. A break above or below will indicate market direction.
With MACD now in the red, momentum is down.
During the current monthly candle, price needs to return all the way up to the blue trendline to indicate panic stations are over and the bull run will continue into April. At this point, that would be a surprising end to March, but certainly possible.
If the downwards momentum holds, and panic in the financial markets continues, we may at least test that lower level around $3100 and settle there as long as a month or two so the market digests what has just taken place.
Traders will attempt to scalp the market with short-time frame trades within narrow ranges and high volatility.
We will update with some of the Signals from the Sparkster Backtester.
Comment:
As of March close and 1st week of April, not looking good for May.
