Metal / BitcoinLong
TECHNICAL ANALYSIS OF METAL- MTL/BTC 1D
Updated
As the old adage goes “If it ain’t broke, don’t fix it!”
Taking a look at those small red outlined circles we can see that when there was a close above the trend line coming from the high of 26 Nov 2018 and the previous high, there was a decent run. This is all except that last one there in the yellow outlined circle. After the cross above the trend line there was an immediate pullback below it. It still pulled itself back above it, but I think that was the first signal of the soon to come drop.
Fast forward to where we are at now and we just saw that there was a close above the trend line once again. There was a pull back on this one too, but this was for a different reason than a drop prediction. After getting battered all the way down from where MTL once stood, the large green bar seemed like an oasis for those that have been in the desert for far to long and saw it as an opportunity to cash in. This led to a retest of the support from the low of 08 Dec 2017. The retest was successful and seems to have put us in a falling wedge. This appears to have nothing but bullish written all over it. The are two things that I am a little uncertain/ concerned about.
The very large drop in volume on 09 Jun 2018 and how that is going to affect MTL/BTC in its recovery stages.
If there is going to be a need for a third testing of the support in the falling wedge before going on a run.
Remember, don't drink and trade...always ask someone to hold your beer first!
DYOR and goodluck!
Taking a look at those small red outlined circles we can see that when there was a close above the trend line coming from the high of 26 Nov 2018 and the previous high, there was a decent run. This is all except that last one there in the yellow outlined circle. After the cross above the trend line there was an immediate pullback below it. It still pulled itself back above it, but I think that was the first signal of the soon to come drop.
Fast forward to where we are at now and we just saw that there was a close above the trend line once again. There was a pull back on this one too, but this was for a different reason than a drop prediction. After getting battered all the way down from where MTL once stood, the large green bar seemed like an oasis for those that have been in the desert for far to long and saw it as an opportunity to cash in. This led to a retest of the support from the low of 08 Dec 2017. The retest was successful and seems to have put us in a falling wedge. This appears to have nothing but bullish written all over it. The are two things that I am a little uncertain/ concerned about.
The very large drop in volume on 09 Jun 2018 and how that is going to affect MTL/BTC in its recovery stages.
If there is going to be a need for a third testing of the support in the falling wedge before going on a run.
Remember, don't drink and trade...always ask someone to hold your beer first!
DYOR and goodluck!
Trade active
Note
Will be using this new trend line to update my strategy.Update to strategy:
-Sell 50% at target and ride the yellow trend line until a close below it.
-A close below yellow trend line before target results in a sale of 50% and will retain the original stop loss for the latter half.
Will be keeping an eye out for the formation of a potential bump and run.
Note
Note
It would appear we have a symmetrical triangle formation that will continue us on upward. I have sold 50% of the position as the last hour closed under the yellow trend line. Putting 50% of what I sold back on buy @ 0.0001987 to see if I cannot pick up a little extra on the way up. Will retain the other BTC to buy once there has been a close above the blue line of the symmetrical triangle. Trade Strategy update:
Target 1: 0.0002117 - Sell 50% of position
Target 2: 0.0002214- Sell 50% of what is left of the position
Target 3: Will hold until a close below the trend line that will lead us into wave 4.
Trade closed: stop reached
There was a close below my upward trend line. I wanted to see if there was going to be a retest of the of the previous support as a new resistance, but it never made it there and sold on the closing of the next candle @ 0.0001979 for a loss of 0.95% on the position. After Action Assessment: The trade went south because I was too zoomed in for the hour chart and made an obvious mistake. I utilized a trend line that I should not have for a primary support. Lesson learned.
Note
With that being said, we do have another opportunity rearing its pretty head. Now that I have corrected the base trend line, we can get a better grasp on what is going on. We can see that we are on a solid base and that there is a symmetrical triangle formation. What I am looking for is a close above the trend blue trend line to signal upward movement.Note
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