Hi guys,
Wow, you've got to check out my last post for the finish of wave 3.
In the comments I called for the bottom of 7850. And it hit it.... like exactly. Not 1 cent higher. Not 1 cent lower. Un freeking believable!!!!
There was a lot of sideways action, that may have had some worried about another wave down.... it definitely looked like a bear flag pattern.
Here's the comment from my last post:
Lots of sideways action.... doesn't want to pop upwards for subwave 4 yet.
Check out the 5 minute chart:
- See the 3 times it has gone down to 7850, there are really long wicks on the candle? That is a REJECTION to the downside.... any time the bears try to push it lower, the bulls immediately force it back up. Long wicks on candles tell an important story on the bull/bear battle, and when reversals happen. So I'm sticking to my idea that subwave 4 will begin.
Watch out for a drop below 7850 with volume though.... that would threaten my analysis.
And here's my rant about chart patterns from my "BTC in trouble! 8700 target hit... look out below." post:
A little rant…. Bitcoin -3.25% and cryptos are a highly leveraged, highly speculative, highly unregulated and even highly manipulated market. The price action is wild and explosive, unlike anything we’ve seen in regular equity markets. I’m becoming more and more convinced that Elliot wave and Fibonacci analysis are the tools necessary for the best technical analysis . Of course to be used with other tools to form a complete toolbox. A lot of the top technical analysts focus on chart patterns….. head and shoulders , cup and handles, inverted/non-inverted, bull flag/pennants, bear flag pennants , etc. Im not saying that patterns are not valuable, but there are patterns all over the freekin chart these days. Some of them complete, but I’m seeing a lot of patterns that don't. I don’t know about you, but I don’t want to be investing on a coin flip. I’m not saying I’m a master analyst… I’m still learning. But when you get your Elliot wave count correct, the results are downright precise! And the current idea’s I’ve been posting have been on point, so lets keep rolling with it. If you are new to Elliot wave analysis, do a quick google/wiki search to get a basic sense of the theory, it will only take 5 minutes for an overview.
Moral of the story? Do not blindly trade based on chart patterns.
For subwave 4, I'm gonna target the 0.618 retracement , up to the 0.65 level.... this tight band is known as the "golden pocket". Alot of trading bots and stop orders are set at the 0.618.... the 0.65 level takes care of the peaks and fake outs. It looks like wave A of the ABC correction is in place.... lets see how the rest of subwave 4 plays out. I will update with more detailed ABC subwave chart analysis as the waves develop.
Wow, you've got to check out my last post for the finish of wave 3.
In the comments I called for the bottom of 7850. And it hit it.... like exactly. Not 1 cent higher. Not 1 cent lower. Un freeking believable!!!!
There was a lot of sideways action, that may have had some worried about another wave down.... it definitely looked like a bear flag pattern.
Here's the comment from my last post:
Lots of sideways action.... doesn't want to pop upwards for subwave 4 yet.
Check out the 5 minute chart:
- See the 3 times it has gone down to 7850, there are really long wicks on the candle? That is a REJECTION to the downside.... any time the bears try to push it lower, the bulls immediately force it back up. Long wicks on candles tell an important story on the bull/bear battle, and when reversals happen. So I'm sticking to my idea that subwave 4 will begin.
Watch out for a drop below 7850 with volume though.... that would threaten my analysis.
And here's my rant about chart patterns from my "BTC in trouble! 8700 target hit... look out below." post:
A little rant…. Bitcoin -3.25% and cryptos are a highly leveraged, highly speculative, highly unregulated and even highly manipulated market. The price action is wild and explosive, unlike anything we’ve seen in regular equity markets. I’m becoming more and more convinced that Elliot wave and Fibonacci analysis are the tools necessary for the best technical analysis . Of course to be used with other tools to form a complete toolbox. A lot of the top technical analysts focus on chart patterns….. head and shoulders , cup and handles, inverted/non-inverted, bull flag/pennants, bear flag pennants , etc. Im not saying that patterns are not valuable, but there are patterns all over the freekin chart these days. Some of them complete, but I’m seeing a lot of patterns that don't. I don’t know about you, but I don’t want to be investing on a coin flip. I’m not saying I’m a master analyst… I’m still learning. But when you get your Elliot wave count correct, the results are downright precise! And the current idea’s I’ve been posting have been on point, so lets keep rolling with it. If you are new to Elliot wave analysis, do a quick google/wiki search to get a basic sense of the theory, it will only take 5 minutes for an overview.
Moral of the story? Do not blindly trade based on chart patterns.
For subwave 4, I'm gonna target the 0.618 retracement , up to the 0.65 level.... this tight band is known as the "golden pocket". Alot of trading bots and stop orders are set at the 0.618.... the 0.65 level takes care of the peaks and fake outs. It looks like wave A of the ABC correction is in place.... lets see how the rest of subwave 4 plays out. I will update with more detailed ABC subwave chart analysis as the waves develop.