Hello, together we will do Technical Analysis on BTCUSD, that will complete in five successive Parts.
(I) Monthly: Notice that bullish Fractal bellow the Middle Bollinger Band, also a Rounding Bottom was formed there. After that, the Major Trend reversed to bullish. However, the last three candles, previously to the current candle, have long Spikes. As Steve Nison (the Father of Modern Candlestick Charting) has said "The Imortance Lies on the Potential Resistance". Those Spikes indicate three successive levels of resistance ($13,749.88), ($13,159.06) and ($12,298.08). After Price tested those levels, made a Pullback. Four candles before, we notice a Bullish Price Tenkan Sen Cross, Price managed to cross Kijun Sen, and touch the Upper Bollinger Band, only to leave three Spikes above it and close lower. A bearish Fractal was formed above the Upper Bollinger Band and, moreover, we notice a bearish Fractal with huge Spike there 15 months ago. All those Spikes indicate that Bears were entering the Market and at the first opportunity Spikes should form below the Lower Bollinger Band. Although Stochastics formed a Bullish Crossover below the 20% line, price has not touched the Lower Bollinger Band for several Months on the Monthly Timeframe. Therefore, the Bearish Cycle that started on Octomber 1st 2017, remains dominant on the Monthly Timeframe, since it has not completed yet. Tenkan Sen has crossed from above to below the Kijun Sen, which is a bearish signal, and then the Tenkan Sen moved horizontaly, which indicated a sideways moving market, but now has some slope. The upward movement is a correction of the previous downtrend. The Price reached the Fibonacci Retracement level of 61.8% at (13,794.88) and bounded back to 50.0% level at ($11,521.31). Both these levels served as Support and Resistance in the past. All three Bollinger Bands are horizontaly flat and parallel, which indicates a Perfect Range Bound and Price has to touch the Lower Bollinger Band. Moreover, we have pointed out that Price has to Reach ($550.00) for the Bearish Cycle to Complete.
(I) Monthly: Notice that bullish Fractal bellow the Middle Bollinger Band, also a Rounding Bottom was formed there. After that, the Major Trend reversed to bullish. However, the last three candles, previously to the current candle, have long Spikes. As Steve Nison (the Father of Modern Candlestick Charting) has said "The Imortance Lies on the Potential Resistance". Those Spikes indicate three successive levels of resistance ($13,749.88), ($13,159.06) and ($12,298.08). After Price tested those levels, made a Pullback. Four candles before, we notice a Bullish Price Tenkan Sen Cross, Price managed to cross Kijun Sen, and touch the Upper Bollinger Band, only to leave three Spikes above it and close lower. A bearish Fractal was formed above the Upper Bollinger Band and, moreover, we notice a bearish Fractal with huge Spike there 15 months ago. All those Spikes indicate that Bears were entering the Market and at the first opportunity Spikes should form below the Lower Bollinger Band. Although Stochastics formed a Bullish Crossover below the 20% line, price has not touched the Lower Bollinger Band for several Months on the Monthly Timeframe. Therefore, the Bearish Cycle that started on Octomber 1st 2017, remains dominant on the Monthly Timeframe, since it has not completed yet. Tenkan Sen has crossed from above to below the Kijun Sen, which is a bearish signal, and then the Tenkan Sen moved horizontaly, which indicated a sideways moving market, but now has some slope. The upward movement is a correction of the previous downtrend. The Price reached the Fibonacci Retracement level of 61.8% at (13,794.88) and bounded back to 50.0% level at ($11,521.31). Both these levels served as Support and Resistance in the past. All three Bollinger Bands are horizontaly flat and parallel, which indicates a Perfect Range Bound and Price has to touch the Lower Bollinger Band. Moreover, we have pointed out that Price has to Reach ($550.00) for the Bearish Cycle to Complete.