BTC has been wild lately.
Here we have a possible continuation pattern - pretty straight forward.
Breakout will be above point (D) at ~5273.33CNY / Confirmation above (B) at ~5378.22CNY
The pattern will be invalidated with a break below (C) ~5060.37CNY
Possible count for trend continuation pattern.
Confirmation above (B).
(See Linked Chart - Meant to post w/ sooner)
- It is possible the triangle has further yet and could be wider than pictured.
Looks like a corrective continuation pattern about to finish up, which should move us upwards into higher time frames.
- Watching for StochRSI to trend out of oversold to begin move.
- Looking for $680 area to hold as support.
BTC has either completed, or is nearing completion of a correction.
(Possibly one more blip down)
**Observations to note:
- RSI has begun trending upward after touching oversold territory
- We see confirmation on the oscillator, as StochRSI has also begun trending upwards on a breakout of oversold territory
Here is a perspective to consider using Bollinger Bands as an indicator.
Areas of importance:
- Notice the massive weekly hidden bull divergence between price and BB width (green line)
- Hidden divergence is a signaling of trend continuation; in this case, up.
- Last time the BB Width broke over 0 line we ...
Not much, just a brainstorm...mostly...
Price has failed to drop significantly as the StochRSI continues to play around in oversold territory.
Watch for a breakout in price as the stoch eventually makes its way out of oversold.
Back to original count (see linked) .
Price broke back over 200 EMA, and looks like it may be a larger 2 of the overall count.
Looks to be within a C of A-B-C.
Absolutely no interest in longing; I am admiring the opportunity to add more shorts this high.
- Move could be complete, but possible PO is ...
If this is indeed the midst of a larger impulse...
We are within 3 of 3 to some degree where 2 had been a double combination correction.
This was mimicked nicely on lower TF's into current move. (See linked chart)
Target as pictured - could easily over extend.
-12/26 EMA unable to penetrate downard.
See last post for detailed explanation of combination. (Linked)
May have completed (D) of the triangle. Watch for (E) wave push to finish.
Triangle may break early.
- As stated in previous post, wave (E) can overthrow and retain its validity.