BTCUSD: Trading from a Weekly chart
Updated
I often look at a weekly chart to see where price is - it's a good overview and you can often look and plan for a trade using lower time frames using weekly fib levels by waiting for reversals patterns to confirm entries. We have not broken the weekly trend line as this weeks candle has not closed. Until it closes below this line I will look and plan for long trades.
I have placed the 60min chart next to the hourly to give me an idea of when the trend may change. I have drawn a fib of the last move and price has reached the 127% fib extension.
Naturally, I would need to see price action confirm that we may be reversing. For instance, a 1-2-3 pattern on the 4hr may
confirm a bullish change. But be warned it might be difficult to trade BTC over the coming months as the Bears and the Bulls may play fib wars.
This is where you need to keep hold of your wallet and wait for the best opportunity. There is always another train coming if you miss the first one. I have lost many times trying to pick a bottom or top. Don't do it!
BTC is heading into Weekly order flow - I am expecting a bounce. How high and for how long time will tell. The weekly candle may pierce through these areas and we are left with a long wick and a green candle. How knows - just be prepared with a plan so you can respond - not react.
The purple, green and the black horizontal lines indicate orderflow and I will be watching - not trading for the Bulls to take the reigns. Once I have confirmation price action, reversal and I can mitigate my risk I will re-enter the market. I will follow up with a chart if this occurs at these levels.
I have placed the 60min chart next to the hourly to give me an idea of when the trend may change. I have drawn a fib of the last move and price has reached the 127% fib extension.
Naturally, I would need to see price action confirm that we may be reversing. For instance, a 1-2-3 pattern on the 4hr may
confirm a bullish change. But be warned it might be difficult to trade BTC over the coming months as the Bears and the Bulls may play fib wars.
This is where you need to keep hold of your wallet and wait for the best opportunity. There is always another train coming if you miss the first one. I have lost many times trying to pick a bottom or top. Don't do it!
BTC is heading into Weekly order flow - I am expecting a bounce. How high and for how long time will tell. The weekly candle may pierce through these areas and we are left with a long wick and a green candle. How knows - just be prepared with a plan so you can respond - not react.
The purple, green and the black horizontal lines indicate orderflow and I will be watching - not trading for the Bulls to take the reigns. Once I have confirmation price action, reversal and I can mitigate my risk I will re-enter the market. I will follow up with a chart if this occurs at these levels.
Note
The trade plan played out as planned on the hourly and it looks to me on the Weekly that the trendline has held. So I believe at the moment the story we are seeing is long.
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