Zoomout to the daily charts to see where it might go, some options and levels are defined to establish levels of intrest for new long entries and target levels for short positions.
Still possible for it to not break the S/R one and go up again since it seems that this pattern (short C wave) has developed before on these cryptocurrencies, I also added a triangle for reference purposes.
Neutral for now until the break or bounce and establishment of a clear structure to trade. Wait and see...
Still possible for it to not break the S/R one and go up again since it seems that this pattern (short C wave) has developed before on these cryptocurrencies, I also added a triangle for reference purposes.
Neutral for now until the break or bounce and establishment of a clear structure to trade. Wait and see...
Note
Support broke convincingly. Close to the trendline and possible short target zones now so trail SL or take partial profit if you're short.Look for possible signs of slowing trend or (upcoming) reversal on lower TF's to get back long.
My main zone to watch was between 10.000 and 8.000, so it's time to pay attention imo, MA(200) is a little lower still, 0.618 ret. at 7568, 1.618 extension comes in as low as 5903...
The sentiment with a lot of retail traders is still positive, alot of people are convinced that this is a healthy correction and the ideal time to add longs, I therefor think that there is a good chance that we will go up again but still I don't want to invest too highly in it. Volatility is good for trading if you know what you're doing but the market is new (thus unpredictable) so I'm staying cautious.
In EW terms: if the wave up is only wave 1 of an initial impulse of a starting bull market then we now have a sharp zigzag corrective wave 2 and the obvious target would be the 0.618 ret.
To account for all this and if you want to invest, go long or add longs you can phase in starting about where it is now and spread your entry in 2 or 3 parts, that way you're always in but you spread your risk and get the optimum averaged entry price...
Note
Update:
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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.