The bearish absorption . [BTC/Bitcoin]

Updated

On the chart we can see the bearish absorption pattern , it's confirmed by the volume .
This pattern is a sign of a reversal movement , be careful.
Keep focused on the confirmed trend line.

Note

The support zones

Note

The price confirmed the previous resistance level as support.
Focus on the closure of the next four hour candle.

Note

The trend line was broken and the price fell below the previous resistance level.
Now the price is testing this level.
Let's see what happen next
STATUS Don't trade

Note

Importantly

The morning doji star
in case of the closure of the four hour candle above the maximum of previous candle , we will can see the "morning doji star"
This pattern shows the weakening of the bears and change of the movement.

Note

the failure

Note

The bearish absorption on the day chart , it's confirmed by the volume , be careful

Note

Compare the bars.
The volume is about the same , but the candles is very different.
In my opinion it means that there is no buyer.
Be careful.

Note

The accumulation of positions in the blue rectangle.
Wait for the four hour candle to close.

Note

The small volume and the suspicious movement , be careful

Note

maybe it's the evening star pattern , be careful

Note

The volume increases when the price falls , this is the bearish sign.

Bombita

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.