Here is a quick one on #BTC
4 hours:- too much noise on the hourly time frame. A careful analysis of price action shows we are in an ABC correction move.
The rejection at $4198 down to $3730 gave us our "A" move, the bounce to the $3866 area gave us our "B" move and the dump to the downtrend line support at $3630 gave us the "C" move.
The strong rejection twice now from this support area shows we are not ready for a downward move in short term, and with the 50 hourly MA flattening out, I did expect more consolidation before the next move
Daily:- price action on daily further confirms the bias is to the upside. Price has been forming higher low and higher high from the low of $3350 since Feb 8. Presently consolidating above the downtrend line support at $3750-$3850, and with the strong rejection at the downtrend line support at $3650, I did expect a push higher to retest the $4200 resistance and break above that area, for a completion of wave 4, before continuing down, a break below $3650 will lead us to the next support at $3450, and 3160 respectively
Weekly:- the higher low formation of the wave 4 of the overall trend from the yearly low is clearly seen here. Price fell back into the symmetrical triangle after the rejection at $4198, but the bulls were in action as the next candle opened above the previous candle, breaking out of the symmetrical triangle immediately and found support on the downtrend line resistance now turned support, an indication that the bias is still to the upside on the higher time frame.
In my previous post, I did explain that wave 4 comes with complex consolidation-- higher low and higher high formation.
All things been equal, with the completion of the ABC correction move on lower time frame, I did expect a push back towards the local resistance at $4200, and a break above it to the longer term downtrend line resistance at $4800-$5100 area to complete wave 4, before moving back down on wave 5 IMO
4 hours:- too much noise on the hourly time frame. A careful analysis of price action shows we are in an ABC correction move.
The rejection at $4198 down to $3730 gave us our "A" move, the bounce to the $3866 area gave us our "B" move and the dump to the downtrend line support at $3630 gave us the "C" move.
The strong rejection twice now from this support area shows we are not ready for a downward move in short term, and with the 50 hourly MA flattening out, I did expect more consolidation before the next move
Daily:- price action on daily further confirms the bias is to the upside. Price has been forming higher low and higher high from the low of $3350 since Feb 8. Presently consolidating above the downtrend line support at $3750-$3850, and with the strong rejection at the downtrend line support at $3650, I did expect a push higher to retest the $4200 resistance and break above that area, for a completion of wave 4, before continuing down, a break below $3650 will lead us to the next support at $3450, and 3160 respectively
Weekly:- the higher low formation of the wave 4 of the overall trend from the yearly low is clearly seen here. Price fell back into the symmetrical triangle after the rejection at $4198, but the bulls were in action as the next candle opened above the previous candle, breaking out of the symmetrical triangle immediately and found support on the downtrend line resistance now turned support, an indication that the bias is still to the upside on the higher time frame.
In my previous post, I did explain that wave 4 comes with complex consolidation-- higher low and higher high formation.
All things been equal, with the completion of the ABC correction move on lower time frame, I did expect a push back towards the local resistance at $4200, and a break above it to the longer term downtrend line resistance at $4800-$5100 area to complete wave 4, before moving back down on wave 5 IMO
