BTCUSD Bear flag Breakout, Bounce or reach target?
Hello traders,
Another day Another chart,
Today's chart will be an update on BTC's recent price action
Points to consider
- Break was bearish with above average volume confirming bear flag
- Another potential higher low in place
- .618 Fibanacci Zone acted as resistance
- Price currently testing support which is in confluence with the .786 Fibonnaci Zone
- Low volume of transactions after the current support zone, VPVR
- EMA's giving price resistance
- RSI oversold but not as severely
- Volume is average at given time
BTC is testing a very high technical area right now, proceeding its over extended bear flag. The calculated target of this bear flag will be around the $9,100 Zone however the current price action after the bear flag suggests that BTC may have a bounce, being more probable. The current Support zone is in confluence with a support line coming up, this line is also in confluence with the .786 Fibonacci Zone proving how strong this area is for the bulls. When zoomed in on the 1 hour chart, we can see a clear bullish divergence, proving its significance. If bulls do not hold this area then the likely target of $9,100 is more probable as there is not much support until the next leg down and this being in confluence with the calculated target makes sense...
What are your thoughts, will BTC break support or have a bounce from this area?
Please leave a like and comment,
and remember,
“Don't blindly follow someone, follow market and try to hear what it is telling you.” ― Jaymin Shah
Another day Another chart,
Today's chart will be an update on BTC's recent price action
Points to consider
- Break was bearish with above average volume confirming bear flag
- Another potential higher low in place
- .618 Fibanacci Zone acted as resistance
- Price currently testing support which is in confluence with the .786 Fibonnaci Zone
- Low volume of transactions after the current support zone, VPVR
- EMA's giving price resistance
- RSI oversold but not as severely
- Volume is average at given time
BTC is testing a very high technical area right now, proceeding its over extended bear flag. The calculated target of this bear flag will be around the $9,100 Zone however the current price action after the bear flag suggests that BTC may have a bounce, being more probable. The current Support zone is in confluence with a support line coming up, this line is also in confluence with the .786 Fibonacci Zone proving how strong this area is for the bulls. When zoomed in on the 1 hour chart, we can see a clear bullish divergence, proving its significance. If bulls do not hold this area then the likely target of $9,100 is more probable as there is not much support until the next leg down and this being in confluence with the calculated target makes sense...
What are your thoughts, will BTC break support or have a bounce from this area?
Please leave a like and comment,
and remember,
“Don't blindly follow someone, follow market and try to hear what it is telling you.” ― Jaymin Shah
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