hmorris

hmorris

Price action is very similar to the middle of March 2018. As we declined from 8.5k down to 8.2k we created the same bullish divergence with the RSI as you can see with the yellow lines. Similar pattern on current day. The RSI itself when we bounced on March 15 from 7.8k->8.5K was 50 on the 4HR. We are currently at 50RSI on the 4HR and we bounced from 7.9k->8.5K....

hmorris

We are following 2014 bear market very closely during this 2018 one. At this point it appears we are more bearish now than we were at the end of May 2014. As you can see we wicked off the 200EMA and had a nice bounce in 2014. This time, we broke down below the 200EMA, bounced and rejected back off it to the downside.

hmorris

Wait for hourly bounce to reach 60 RSI and start scaling into a SHORT. Continue scaling in while/if it keeps pushing to 70 RSI. Close when Hourly RSI breaks below 30 again. Rinse and repeat.

hmorris

If RSI on hourly dips below 30 and goes to 20-25, this could be the start of a bear trend.