$BTC Historic ATH's / FibsNew discovered Fibonacci channel: '22 Lowest - current ATH
The visualization of these channels enhances awareness regarding upcoming potential price reactions.
Fibonacci Channels as Roadmaps: Utilizing Fibonacci ratios, steep channels delineate clear zones where Bitcoin has historically found support or encountered resistance. These ratios, fundamental to the Fibonacci sequence, are critical in estimating areas where price movements are likely to stall or reverse.
Fib ratios splits the cycle into its phases:
Fractal
Bitcoin 1H UpdateMEXC:BTCUSDT
Apparently a correction has been started.
The high of the structure confirmed by touching the IDM.i.
If the 1H candle closed lower than IDM.i,
we may expect price to drop further to the DP.i / ENG.i / EX.i
otherwise the IDM.i grabbed and make a SCOB for us to enter another Buy Position and the target one is the high of structure (63850) and the second target is the MPL zone (64460).
P.S: In the DPs & ENGs zones and grabbed IDMs we MUST get a confirmation signal to enter position which is SCOB or lower time frame (LTF) ChoCh. (EXs are confirmation-free entries)
I will update Bitcoin regularly..
Take Care
Aurio
Bitcoin / #Russell2000 📝The index of small companies is known for being highly dependent on bank financing. Therefore, of course, he is the main beneficiary of cheaper money after the rate cut.
👀What we see about correlations, CRYPTOCAP:BTC bull markets, coincide with the movement of this index as you can see, in the green zone on the Spearman indicator,
💡We can also see that Russell 2000 is far from its ATH, which is also a bullish sign, because small companies in the stock market grow quite predictably with GDP growth and increased liquidity, and in the current state is far from overheated.
DOGECOIN 2024 — A Massive Breakout Coming?Hello, fellow traders! I'm excited to share an intriguing analysis with you today. Let's explore how Dogecoin DOGEUSD might be following in the footsteps of Stellar's XLMBTC remarkable 2017 bear market and 2018 bull run.
By comparing historical charts of Stellar with the current movements of Dogecoin, we could uncover patterns suggesting a significant breakout for DOGE this year and into the next. This insight might help you spot potential trading opportunities in the market.
Stellar's 2017 Journey
On the top chart, we have Stellar XLMBTC chart from 2017 and 2018:
All-Time High (ATH) of 2017: Stellar reached its ATH, followed by a period of declining lower highs during the summer months.
Accumulation Phase: Mid-autumn brought an accumulation zone, indicating consolidation before the next big move.
Wedge Pattern Formation: A wedge pattern emerged, leading to increased bullish momentum.
Breakout to New Highs: Post-wedge, Stellar entered a phase of higher highs, establishing a new ATH at the beginning of 2018.
Dogecoin's Current Path
Now, let's examine Dogecoin DOGEUSDT on the 3-day timeframe:
ATH in May 2021: DOGE hit its ATH and then began a decline into a lower highs zone.
Accumulation Zone Since Mid-2023: Like Stellar, DOGE was in an accumulation phase that lasted until 2024.
Wedge Pattern Development: In 2024, DOGE formed a wedge pattern, with the price currently residing within this formation.
Moving Averages Alignment: Interestingly, the moving averages on both charts behave almost identically, reinforcing the pattern similarity.
What This Could Mean
The parallels between DOGE and XLM suggest that Dogecoin might be bottoming out and could be on the verge of a significant breakout. While history doesn't always repeat itself, these patterns are worth paying attention to.
What are your thoughts on this comparison? Do you think Dogecoin is set to follow Stellar's past performance? Share your insights or any questions you have in the comments below — I’d love to hear your perspective!
Remember, the crypto market can be unpredictable. It's essential to protect your capital and manage risks appropriately. A fundamental risk management strategy is to use no more than 1% of your capital per trade.
If you found this analysis helpful, please like this post and follow me for more cryptocurrency insights. Stay tuned for more updates!
Dow Jones Industrial - DJI - is creating a ending diagonalEnding Diagonal Overview
An Ending Diagonal is a pattern that signifies the exhaustion of a larger movement. It occurs at the final stages of a trend, either at the end of a five-wave impulse or at the end of an A-B-C corrective structure. Typically, ending diagonals take longer to unfold compared to standard impulses, indicating a slowdown and an imminent trend reversal.
Key Rules for Ending Diagonals
• Where they appear: Ending diagonals can occur in either Wave 5 of an impulse or Wave C of a corrective structure.
• Wave count: An ending diagonal subdivides into five waves.
• Wave structure: Each of the five waves in an ending diagonal consists of three smaller waves.
• Wave overlap: In an ending diagonal, Wave 1 and Wave 4 overlap, unlike a standard impulse.
Guidelines for Identifying an Ending Diagonal
• Wave size: Wave 1 is typically the largest among Waves 1, 3, and 5.
• Contracting vs. Expanding Diagonals:
• In a contracting diagonal, Wave 5 often terminates slightly beyond the trendline connecting Wave 1 and Wave 3.
• In an expanding diagonal, Wave 5 typically ends before the trendline connecting Wave 1 and Wave 3.
• Wave 3 extension: If Wave 5 is an ending diagonal, Wave 3 is most likely to be extended.
• Implication of extensions: Wave 5 extensions, truncated fifths, and ending diagonals all suggest a significant reversal is approaching.
• Sub-wave structure: Unlike typical impulses, the sub-waves Wave 2 and Wave 4 do not alternate in terms of structure. Both corrections are usually simple ZigZag patterns.
• Throw-over phenomenon: Often, prices may briefly shoot beyond the trendline connecting Wave 1 and Wave 3 in a phenomenon known as a throw-over, indicating extreme exhaustion. This is followed by a sharp reversal.
• Trading opportunity: A strong buying opportunity usually emerges when prices break above the diagonal trendline connecting Wave 2 and Wave 4.
Internal Wave Structure
The internal structure of an ending diagonal follows a 3-3-3-3-3 pattern. Each of the five waves in the diagonal subdivides into three smaller waves, typically following an A-B-C ZigZag pattern. This differs from a typical impulse, which subdivides into a 5-wave structure.
Conclusion
Ending diagonals mark the completion of major trends and serve as powerful reversal signals. Recognizing their internal wave structure and the key characteristics such as the overlap of Waves 1 and 4, the throw-over, and their 3-wave subdivisions can help traders identify impending reversals and take advantage of new trend opportunities.
SPX500USD: Capitalizing on Probabilities for a Bullish SurgeSPX500USD: Bullish Momentum Supported by Key Fundamentals
The S&P 500 (SPX500USD) shows strong bullish potential, backed by several key fundamentals
1. Resilient economic growth: Recent GDP data indicates continued expansion despite earlier recession fears.
2. Easing inflation pressures: Core inflation metrics are trending downward, potentially allowing for a more accommodative Fed policy.
3. Strong corporate earnings: Many companies are beating earnings expectations, demonstrating business resilience.
4. Technological advancements: Ongoing AI integration across sectors is driving productivity gains and investor optimism.
Probability-Based Approach for Long Positions
I'm utilizing probabilities to enter long positions. My charts will showcase key probability zones and potential entry points.
Let's dive into the top-down analysis.
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I’d love to hear your thoughts on the SPX500USD outlook!
Rate Cut Incoming. Buckle Up"What the Yield Curve and Fed Moves Mean for Your Next Trade."
Historically, when the Federal Reserve lowers the federal funds rate while the yield spread is negative (also known as an inverted yield curve), it has often been an indicator of an impending market correction or recession.
Let’s break this down:
Historically, the bond market is a key indicator. Typically, long-term bonds offer higher yields than short-term bonds; This a healthy sign. When that flips and short-term yields surpass long-term ones, we get what’s called an inverted yield curve. This inversion signals that investors are getting nervous about the near-term economy. When the Fed then steps in to lower rates, they’re trying to stimulate growth, but it often comes too late.
Looking back at past events:
The dot-com crash of 2000: The yield curve inverted, the Fed cut rates, and a 35% market correction followed.
The 2008 financial crisis: Again, the yield curve inverted, rates were cut, and the market saw a major downturn exceeding 50%.
Going back even further, the same pattern held in the 1970s and 1980s.
The big questions are:
Why does this combination signal trouble?
Will this pattern repeat itself again?
While history tends to repeat itself, the data shows that when the Fed cuts rates with a negative yield spread, market corrections often follow. The inverted curve suggests tighter credit conditions, reduced lending, and lack of confidence, all piling on top of one another creating a recipe for disaster.
Stepping back even further, we see that investor sentiment and the bond market tend to lead the way. Credit tightens, and companies cut back on spending. Another a perfect recipe for an economic slowdown and market drop.
It's a familiar cycle. So lets buckle up.
Bullish AU200: Key Fundamentals & Probability StrategyThe AU200 (ASX 200) index is showing bullish potential due to several key fundamentals. Australia's economy continues to demonstrate resilience, with a strong labor market and low unemployment rate of 3.6% supporting consumer spending. Additionally, the country's resource-rich economy benefits from robust global commodity prices, particularly in key exports like iron ore and coal. The Reserve Bank of Australia's supportive monetary policy, despite recent tightening to combat inflation, further underpins the positive outlook for the AU200.
I'm incorporating probability top-down analysis into my trading strategy for the AU200 to make more informed decisions and improve my chances of success. By using probability tools on my charts, I can assess the probability of price movements reaching specific levels, helping me identify high-probability trade setups.
Now let's get into the top-down process:
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What are your thoughts on the AU200? Share your ideas and insights below!
Why Now is the Time to Go Long on USDJPY: A Trader’s PerspectiveCurrent Fundamentals:
-Diverging monetary policies: The Federal Reserve maintains a hawkish stance, while the Bank of Japan continues its ultra-loose policy.
-Economic growth disparity: The US economy shows resilience, outpacing Japan's growth rate.
-Interest rate differentials: Higher US yields attract capital flows, strengthening the dollar against the yen.
I'm employing probability-based analysis to enter long positions in USD/JPY.
Let's discuss what's going on with USDJPY!
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