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Hidden Bearish RSI Divergence

BITCOIN- HIDDEN BEARISH DIVERGENCE / LOW VOLUME The Bitcoin bull trap has come to an end and it seems the dominant trend is resuming. The higher time-frames are showing severe hidden bearish divergence in the RSI. With the price making equal highs while the RSI made a significantly higher high. I was skeptical of the rally as the volume was far too low to be confirming a trend reversal. Entered shorts above 4k at the 100 day EMA and 200 week EMA resistance. My targets remain $2600 - $1900. This is a long term play and I don't expect the targets to hit any time soon. I don't feel comfortable buying in a bearish market that's full of bulls. Capitulation will be the signal for me to close shorts and start buying. $2600 is my target for the next low if we don't get capitulation and $1900 is the capitulation target.
BITSTAMP:BTCUSDShort
by DerrickGibson
6
SPY - LOOKING FOR A LOWER HIGH TO BE SET SOONThis is not an asset I would want to be buying here. There's several red flags in the chart. #1 Declining volume. While the price is going up, the volume has been dropping off. This shows less and less participation as the price goes higher, not a sign of strength. #2 Hidden bearish divergence up to the 3 day timeframe. You have price making LOWER highs while RSI is making HIGHER highs. Yet another sign of weakness. #3 This one is extremely simple, lower highs and lower lows. This is the easiest way to see what the big money is doing. This market is not in an uptrend anymore, it's clearly in a downtrend with LH and LL. To follow what the big money is doing you need to sell the rallys and take profit on lower lows. #4 Death crossed on 1 day and 2 day timeframe. This is an powerful signal that shows the long term uptrend has changed to a bearish trend. As the saying goes, "the trend is your friend until the end of the trend".
AMEX:SPYShort
by DerrickGibson
Bitcoin's escapades for the next weekAfter breaking out from the $4k resistance, I mentioned in my previous post that I had lost confidence in a full wave up to my $4600 target since we had that hidden bearish divergence on the 4H. There was also a slight resemblance to the fractal on 25/26 November when the bull flag failed and headed down to print a higher low at $3684. We've now printed a higher high at $4447 after following a similar pattern to the previous bounce and it seems like we may potentially be forming an ascending channel that could potentially turn into a larger bear flag. I'm expecting a move down to the 61.8 fib retracement level around $3975 which coincides with the channel support and should establish a higher swing low above $3900. CME bitcoin futures expiry on Friday so i'm expecting a strong move closer to then. If we bounce from the channel support, then we should hopefully form another higher high closer to our $4700 resistance which will bring the price back to the falling wedge support after retracing to around $4236 (61.8 fib retracement from a $6700 high). If price breaks to the downside from channel support, I'll be looking at $3500 for a new temporary floor. This is the hidden bearish divergence I was referring to yesterday on the 1D chart. I know the divergence hadn't fully printed yet at the time of posting yesterday but even if RSI and price had gone higher, we would have still had the hidden bearish diversion on the 1D unless price broke $5750 which would have been unlikely or if price had dropped substantially to bring the RSI lower before the close yesterday. This might mean that the larger bear flag may play out if the daily divergence plays out over the same period of time. I'll be keeping a close eye around channel support. Good luck and happy trading! Previous post:
BITFINEX:BTCUSD
by Corn_Reaper
Second target spot on now down to $3300 - $3500Following on from my previous post, we reached the $4200 target as expected and now there is hidden bearish divergence on the hourly chart. MACD and StochRSI are also starting to turn. Price has been following a broader descending channel since the price started crashing over a week ago and is sitting right at the channel resistance. Expecting another wave down since volume has also been steadily decreasing since the rise above $4k. Reversal targets may potentially be the following: The median line of the pitchfork which coincides with our 127.2 fib extension at $3501 . The 141.4 fib extension at $3420 which coincides with the trendline support formed by our swing low yesterday The bottom of the channel and lower band of the pitchfork at $3302 which also coincides with our 161.8 fib extension. Previous chart predicting the $4200 Previous post and first target:
BITFINEX:BTCUSDShort
by Corn_Reaper
GOLD OPPORTUNITIES IN THIS WEEKGold closed at $ 1204.90/oz and traded with a fairly positive price movement on trading last week, where the lowest price was still in the weekly pivot area and the highest price was in the first weekly resistance area (R1), seen also experiencing a significant price spike in Friday (8/24). The price is very strong also still maintains price movements above the pivot by closing above the weekly pivot for this week. But there is one interesting thing here, if the gold price is unable to move up further beyond the first weekly resistance at $ 1214/oz then a hidden divergence will occur between price movements and RSI indicator. We can use Hidden divergence as a sign that the trend has not changed yet or continuation trend. Coupled with the position of the RSI indicator which is nearing the overbought area, there is little room to push the gold price further up. If the gold price does not immediately move up above the weekly resistance for this week and forms a higher high above $ 1217.20/oz then it is very likely that gold will continue go down, and break past the previous swing low at $ 1183/oz.
FX_IDC:XAUUSD
by yanuarmanalif
Short Idea on BTC from Supply ZoneLooking to short. Entry based on: most recent zone of supply. some important fibs a low volume node that I think we'll be unable to thrust through Top of 1H BBand that should serve as resistance Target: Looking for a retest of the support area, but not too confident in breaking any lows on this TF. Looking to take profit around the candle bodies near support. Stop based on: top of supply zone Low Volume Node in Volume Profile Not expecting price to make a higher high before making a higher low compared to recent lows. Hidden bear Divs forming on many time frames, so the dump may come before we reach that supply zone, in essence creating a lower low. After a major dumps, hidden bear divs are a dime a dozen, so I'm giving them less weight on this entry and waiting for price to trail up higher. Will cancel short orders if Hidden Bear Divs play out and we dump prematurely. Will not look to go long at bottom of range if short orders aren't filled. BITFINEX:BTCUSDLONGS are still too high and BITFINEX:BTCUSDSHORTS have not spiked. Does not give me high confidence in current support holding. Looking for Wyckoffian consolidation at this level. Leverage: 50x
BITMEX:BTCUSD.PShort
by AzorAhai06
10
USDCAD Technical and fundamental analysis.The price have been in a uptrend previously, that is followed up by correctional waves. The correctional waves have been in a strong downwards momentum with low momentum for the consolidation areas followed up by a strong retracement momentum. the price have resistance at 1.28025. while a break can drive the price to 1.28670 which is also 0.707 on fibonacci drawn from the red 0 to ((v)) If the price does not break the 1.28025 level we could se a confirmation on the bearish correctional trend, where 1.24472 and 1.22998 should be closely watched. We also have a bearish hidden divergence within the price chart and RSI. ______ Fundamental. Monday April 23: in the US we have Chicago fed national activity index (inflation pressure) which is expected to be 0,47 less at 0.41 where previously data showed 0.88. We also have market Service, composite and manufactoring PMI numbers which is expected to hold a steady level from last data release. where composite PMI is expected to be 55.3 from last data at 54.2. existing home sales (MoM) is also expected to hold a steady level where consensus is 5.55M from last numbers at 5.54M and last yeas numbers for Marts where at 5.48M. Numbers from Canada are very Thin, and no important numbers are coming out monday. Tuesday April 24: We have Housing price index (MoM) (Feb) for US. The index is expected to be 0.3% lower than previously from 0.8% and therefore consensus at 0.5%. Last years numbers where at 0.4%. S&P Case Shiller Home price indices (feb) is also released where consensus is 6.2% from last numbers at 6.4% and last years numbers at 5.6%. Thursday April 26: Continuing jobless claims from the US is released where it previously was at 1.863M, and a consensus at 1.835M for April13. We also have durable goods order for Marts which is expected to be 2.1% less than previously at 3.1% and therefor a consensus at 1.0%. last years numbers showed 1.7% for Marts. Friday April 27: GDP Price index (Q1) is released by US. where the previously numbers was 2.3% and have a consensus of 2.0%. and last years numbers at 2.2%. GDP Annualized (Q1) is also released where the previous numbers where at 2.9% with a consensus of 2.3% and last years numbers 0.7%. Core Personal consumption expenditures (QoQ) (Q1) will also be closely watched, where consensus is 1.5% down with 0.4% from last numbers at 1.9%. ______ We have for a long trade. 1. Break of the 1.28025 level could drive the prices higher, to 1.28670. 2. Easing Trade war tensions. 3. Decrease in oil-prices. 4. good data from US. ____ Short trade. 1. ending of impulsive waves and entered correctional area. 2. hidden bearish divergence. 3. Consensus of bad date from US 4. Price near resistance area. 5. dumping of US currencies from countries. 6. Geopolitical risks. 7. increasing oil prices, as a consequence of geopolitical tensions.
Short
by Fx-AlphaStrats
2