We have broken upward from the parallel channel and have hit our first resistance between 6450-6550, this resistance is made up of sideways resistance (red dash line) as well as historic wedge resistance (yellow solid line) and the 50 EMA on the 6h chart (blue solid line) this combination will be tough for bulls to beat and is what our original short idea posted in our discord and on our twitter is based around.
However, with the MACD having just crossed bull on the 12h timeframe down as well as the RSI showing some bullish divergence (orange solid line) and the 50 EMA crossing the 200 EMA on the smaller timeframes (30m down), there is a possibility the bulls could break this resistance and move up to the second resistance area between 6600-6700 marked by the second green box, in the situation that we do so, we will need to analyse the new data from there to determine if its best to average our short up, or close it off from there. Updates will be posted on all our outlets.
ORIGINAL SHORT IDEA-
XBT / USD
SELL : 6400 - 6550
TARGET :
TARGET 1 : 6350
TARGET 2 : 6300
TARGET 3: 6230
TARGET 4: 6120
TARGET 5: 5950
TARGET 6: 5850
STOP : 6865
Here is a look at the old wedge resistance (solid yellow line)-
However, with the MACD having just crossed bull on the 12h timeframe down as well as the RSI showing some bullish divergence (orange solid line) and the 50 EMA crossing the 200 EMA on the smaller timeframes (30m down), there is a possibility the bulls could break this resistance and move up to the second resistance area between 6600-6700 marked by the second green box, in the situation that we do so, we will need to analyse the new data from there to determine if its best to average our short up, or close it off from there. Updates will be posted on all our outlets.
ORIGINAL SHORT IDEA-
XBT / USD
SELL : 6400 - 6550
TARGET :
TARGET 1 : 6350
TARGET 2 : 6300
TARGET 3: 6230
TARGET 4: 6120
TARGET 5: 5950
TARGET 6: 5850
STOP : 6865
Here is a look at the old wedge resistance (solid yellow line)-
Note
Clear rejection from the first resistance zone - Note
XBT - 30.50% Profit - First target hitNote
XBT - 51.40% Profit - Third target hitNote
Historic wedge resistance providing resistance once againNote
Clear rejection from the wedge resistance Note
XBT - 70.30% Profit 4th Target hit
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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.