BitcoinShort
And That is the Way the Cookie Crumbles! BTCUSD (4h chart)
Well howdy doo y’all!
Afteraction:
Well you can see that a bear flag formed and the result was a fast drop. We knew that it was only a matter of time. Hopefully you all got out of the trade unscathed.
Current Analysis:
Since the big drop happened I went ahead and redrew my lines to reduce the clutter and try to focus on key points more so. Colors do not really play an important part if you are wondering. They are only there to differentiate the different points of origin. Will show an expanded view below.
In the top purple circle we can see at two different points where the lows respected the cross sections of these weaker supports. Ideally we will see a small increase and then see the price respect the stronger resistance and be push downward. Now remember that the dashed lines are weaker support areas (identified with light blue arrow) and will more than likely not be enough to keep the price up, but may be enough to slow it down.
Now if we can manage to slow it down enough to where it can be positioned over lower of the two circles it will meet another intersection. This could be enough of a support to halt the price. This would also be a very nice stopping point as we would have 3 touches on this support. The other two being the ones from 15SEP2017 and 01APR2018. However, if that support does not hold we will be dropping down to the yellow dotted line as the next beacon of hope.
Call: Short
Target: Buy-$6,590
Stop Loss: $6,560
Expanded View:
Remember, don't drink and trade...always ask someone to hold your beer first!
((Guide:
Solid Lines: High Strength Support/Resistance
Small Dotted Lines: Medium Strength Support/ Resistance
Lines with Dash Marks: Low Strength Support/ Resistance
Circles: points of interest))
Afteraction:
Well you can see that a bear flag formed and the result was a fast drop. We knew that it was only a matter of time. Hopefully you all got out of the trade unscathed.
Current Analysis:
Since the big drop happened I went ahead and redrew my lines to reduce the clutter and try to focus on key points more so. Colors do not really play an important part if you are wondering. They are only there to differentiate the different points of origin. Will show an expanded view below.
In the top purple circle we can see at two different points where the lows respected the cross sections of these weaker supports. Ideally we will see a small increase and then see the price respect the stronger resistance and be push downward. Now remember that the dashed lines are weaker support areas (identified with light blue arrow) and will more than likely not be enough to keep the price up, but may be enough to slow it down.
Now if we can manage to slow it down enough to where it can be positioned over lower of the two circles it will meet another intersection. This could be enough of a support to halt the price. This would also be a very nice stopping point as we would have 3 touches on this support. The other two being the ones from 15SEP2017 and 01APR2018. However, if that support does not hold we will be dropping down to the yellow dotted line as the next beacon of hope.
Call: Short
Target: Buy-$6,590
Stop Loss: $6,560
Expanded View:
Remember, don't drink and trade...always ask someone to hold your beer first!
((Guide:
Solid Lines: High Strength Support/Resistance
Small Dotted Lines: Medium Strength Support/ Resistance
Lines with Dash Marks: Low Strength Support/ Resistance
Circles: points of interest))
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