BTC-UPSIDE BREAKOUT OF THE MID BOLLINGER BAND...MARUBOZU !
As mentioned in my last analysis, the MID BOLLINGER BAND should be seen as a VERY, VERY, VERY IMPORTANT INDICATOR for the trend !
WEEKLY (W1)
Ongoing weekly candle is showing a nice recovery attempt to breakout to the upside both weekly clouds top (42'570) and the Tenkan-Sen.
Weekly closing will validate or invalidate this ongoing price action !!!
DAILY (D)
The upside breakout of the Mid Bollinger Band coupled with TS and KS, triggered a sharp acceleration (long white bullish candle-roughly a perfect MARUBOZU !)
Such kind of candle is usually very BULLISH and should be confirmed by the next candle.
The 38.2 % Fibonacci retracement @ 40'264.54 has already been filled and the BTC reached an intraday high so far @ 41'983 (the 50% Fib ret being @ 42'524, which
is roughly the middle of the weekly clouds (in overlay on the daily chart)
The Lagging line went up too and is still in the weekly clouds !
RSI above 50 @ 56.32
Today's price action and more important its closing level should give more clues for further development in validating or invalidating this Marubozu candle.
In the meantime, watch shorter time frames from H4 to H5 which will help you to detect potential early signal of a trend reversal.
4 HOURS (H4)
Watch how the upside breakout took place !
1) Breakout of the upside of the clouds and the ongoing downtrend resistance line, but closing below the downtrend line
2) New upside breakout attempt of the downtrend line with a closing just above the downtrend line and the MBB and the KS
3) Opening above the cluster, retest of the top of the clouds support zone and strong explosion to the upside (long white candle
4) Follow through with 2 long white candles
5) "pause) in this sharp rally (small black candle)
6) ongoing candle attempting to move to the upside
Lagging line above the clouds
RSI @ 76
IMPLICATIONS :
On this H4 time frame, the first significant support level is @ 40'750
A closing level (H4) below 4'0750 would be the first warning signal of a trend reversal in this H4 time frame.
On the upside the 42'000 area (former high) ahead of 42'524 (50% Fib ret and roughly the top of the weekly clouds) are the next resistance levels to
look at; a successfull breakout of 42'524 would put the focus on a very important point which is the 61.8% Fib ret @ 44'783 which coincides also
to the top of the daily clouds.
A clear breakout of the daily clouds on a daily closing basis would give additional conviction for further upside towards 47'500 and higher.
1 HOUR (H1)
Above the clouds and the cluster of KS, MBB and TS.
On this H1 time frame, first support to look at is @ 41'193.
A failure to hold and stay sustainably above it would open the door for the 40'300 (important pivot area) in this time frame.
On the upside, same than H4
15 MINUTES (15 M)
Sideways price action around the cluster with the clouds (41'175-39'655) acting as the support zone.
23,6% Fib ret @ 40'634 and 38.2 % Fib ret @ 39'800 (rally from 36'270 to 41'983)
On the upside, same than H4
Ironman8848 & Jean-Pierre Burki
WEEKLY (W1)
Ongoing weekly candle is showing a nice recovery attempt to breakout to the upside both weekly clouds top (42'570) and the Tenkan-Sen.
Weekly closing will validate or invalidate this ongoing price action !!!
DAILY (D)
The upside breakout of the Mid Bollinger Band coupled with TS and KS, triggered a sharp acceleration (long white bullish candle-roughly a perfect MARUBOZU !)
Such kind of candle is usually very BULLISH and should be confirmed by the next candle.
The 38.2 % Fibonacci retracement @ 40'264.54 has already been filled and the BTC reached an intraday high so far @ 41'983 (the 50% Fib ret being @ 42'524, which
is roughly the middle of the weekly clouds (in overlay on the daily chart)
The Lagging line went up too and is still in the weekly clouds !
RSI above 50 @ 56.32
Today's price action and more important its closing level should give more clues for further development in validating or invalidating this Marubozu candle.
In the meantime, watch shorter time frames from H4 to H5 which will help you to detect potential early signal of a trend reversal.
4 HOURS (H4)
Watch how the upside breakout took place !
1) Breakout of the upside of the clouds and the ongoing downtrend resistance line, but closing below the downtrend line
2) New upside breakout attempt of the downtrend line with a closing just above the downtrend line and the MBB and the KS
3) Opening above the cluster, retest of the top of the clouds support zone and strong explosion to the upside (long white candle
4) Follow through with 2 long white candles
5) "pause) in this sharp rally (small black candle)
6) ongoing candle attempting to move to the upside
Lagging line above the clouds
RSI @ 76
IMPLICATIONS :
On this H4 time frame, the first significant support level is @ 40'750
A closing level (H4) below 4'0750 would be the first warning signal of a trend reversal in this H4 time frame.
On the upside the 42'000 area (former high) ahead of 42'524 (50% Fib ret and roughly the top of the weekly clouds) are the next resistance levels to
look at; a successfull breakout of 42'524 would put the focus on a very important point which is the 61.8% Fib ret @ 44'783 which coincides also
to the top of the daily clouds.
A clear breakout of the daily clouds on a daily closing basis would give additional conviction for further upside towards 47'500 and higher.
1 HOUR (H1)
Above the clouds and the cluster of KS, MBB and TS.
On this H1 time frame, first support to look at is @ 41'193.
A failure to hold and stay sustainably above it would open the door for the 40'300 (important pivot area) in this time frame.
On the upside, same than H4
15 MINUTES (15 M)
Sideways price action around the cluster with the clouds (41'175-39'655) acting as the support zone.
23,6% Fib ret @ 40'634 and 38.2 % Fib ret @ 39'800 (rally from 36'270 to 41'983)
On the upside, same than H4
Ironman8848 & Jean-Pierre Burki
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