Weekend Update For The Weak Hands :)
Updated
Let's look at pure price delivery.
Legend:
- Blue lines are Monthly, Weekly and Daily highs.
- Red lines are Monthly, Weekly and Daily lows.
- The thinner the lower timeframe
- Green lines are supply downtrend from different highs.
Resistances:
1- $35.750 is the old weekly high as the first strong resistance
2- $36.600 is the highest daily breach of the old weekly high, possible breakout point
3- 50 period MA will be at $36.573 on Sunday coupled with the old weekly high
4- $39.380 is the prievious weekly high as the second strong resistance
5- $41.330 is June High, standing as the strongest resistance
Analysis:
Price will always move towards liquidation as this is the job of market makers, so whenever a new trend starts, we see a move in the opposite direction in order to liquidate weak hands.
This has just happened and weak hands who shorted below 33k yesterday are now in FOMO mode and will buy back just to get slashed. Given the strong resistances ahead, we need to see a very strong upward price action to clear these levels in order to turn bullish. Right now, there's a short term move up that has already started to meet these resistances and it's far from being a strong breakout.
If you want to trade in sideways markets, use the old monthly, weekly and daily highs / lows as resistanance and support levels BUT, understand that these levels will be reached AND breached in order to liquidate weak hands.
Don't be one of them.
Trade Safe!
Legend:
- Blue lines are Monthly, Weekly and Daily highs.
- Red lines are Monthly, Weekly and Daily lows.
- The thinner the lower timeframe
- Green lines are supply downtrend from different highs.
Resistances:
1- $35.750 is the old weekly high as the first strong resistance
2- $36.600 is the highest daily breach of the old weekly high, possible breakout point
3- 50 period MA will be at $36.573 on Sunday coupled with the old weekly high
4- $39.380 is the prievious weekly high as the second strong resistance
5- $41.330 is June High, standing as the strongest resistance
Analysis:
Price will always move towards liquidation as this is the job of market makers, so whenever a new trend starts, we see a move in the opposite direction in order to liquidate weak hands.
This has just happened and weak hands who shorted below 33k yesterday are now in FOMO mode and will buy back just to get slashed. Given the strong resistances ahead, we need to see a very strong upward price action to clear these levels in order to turn bullish. Right now, there's a short term move up that has already started to meet these resistances and it's far from being a strong breakout.
If you want to trade in sideways markets, use the old monthly, weekly and daily highs / lows as resistanance and support levels BUT, understand that these levels will be reached AND breached in order to liquidate weak hands.
Don't be one of them.
Trade Safe!
Note
Sunday update, let's review the uptrend!
Note
Who's selling (or buying)
Note
Let's zoom out and look at the big picture. 
Note
Looks like 16k is playing out 
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