BCH 4Hr -- Drilling Down the Price Action
I have expanded the chart for a micro view of BCH on the 4-Hr timeframe. You can see the rounded bottom failed; broke thru and fell: Bearish.
A Primary trendline (Orange Dotted Trendline) has formed with 3-data points: Bearish
Below the Primary Trendline is a green uptrend line; commonly called a Pennant formation, wedge, or flag, depending on who is analyzing the chart. It appears to be a Bear Pennant/flag continuation because it has a small pole @ Jan 13: Bearish
BCH is banging on the 120.xx support price level where buyers are stepping in holding price: Neutral
We just crossed a former long-term support trendline where volatility usually picks up. This is clearly depicted on the chart: Neutral (because it didn't choose a direction)
Volume is decreasing: Bearish
Outlook:
BCH is getting support at the 120.xx price level and consolidating. If that price holds and we move up there is HEAVY resistance at the 127.xx price level which would put BCH butt up against the downward Primary Trendline for a volatility squeeze! You can risk a swing trade at the 120.xx Praying BTC ( The big Flea-Ridden Dog) is over-extended and will move north and so BCH will follow and look to the sell at the 137.xx price level. But why do anything right now when you can add an alert just above 122.xx and decide then. Add an alert at 119.xx and see what happens. My conclusion is this is Bearish and another Bear triangle is forming that has the high probability of bringing lots of volatility with it and another move DOWN to the 111.xx price level.
** Please note this chart is correlated to time and only forward-looking a few days; therefore, DO NOT refer back to it after a week. It's just my trading notes. If you feel this helps you do your due diligence, give me a thumbs up. If you want to get my real-time chart analysis, follow me on Twitter for my TA and life events!
Good luck.
Biff
A Primary trendline (Orange Dotted Trendline) has formed with 3-data points: Bearish
Below the Primary Trendline is a green uptrend line; commonly called a Pennant formation, wedge, or flag, depending on who is analyzing the chart. It appears to be a Bear Pennant/flag continuation because it has a small pole @ Jan 13: Bearish
BCH is banging on the 120.xx support price level where buyers are stepping in holding price: Neutral
We just crossed a former long-term support trendline where volatility usually picks up. This is clearly depicted on the chart: Neutral (because it didn't choose a direction)
Volume is decreasing: Bearish
Outlook:
BCH is getting support at the 120.xx price level and consolidating. If that price holds and we move up there is HEAVY resistance at the 127.xx price level which would put BCH butt up against the downward Primary Trendline for a volatility squeeze! You can risk a swing trade at the 120.xx Praying BTC ( The big Flea-Ridden Dog) is over-extended and will move north and so BCH will follow and look to the sell at the 137.xx price level. But why do anything right now when you can add an alert just above 122.xx and decide then. Add an alert at 119.xx and see what happens. My conclusion is this is Bearish and another Bear triangle is forming that has the high probability of bringing lots of volatility with it and another move DOWN to the 111.xx price level.
** Please note this chart is correlated to time and only forward-looking a few days; therefore, DO NOT refer back to it after a week. It's just my trading notes. If you feel this helps you do your due diligence, give me a thumbs up. If you want to get my real-time chart analysis, follow me on Twitter for my TA and life events!
Good luck.
Biff
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.