BTCUSD - All stars aligned. Bitcoin will start to recover
Hello again
The chart is crowded but let me explain.
We are toward the end of wave 5 which is supposed to be short as wave 3 was extended. (Note Elliot waves in Blue)
Wave 5 is forming a falling wedge (note the wedge in dark red) which is the first bullish sign when the price breaks above the wedge
This also coincides with the double bottom pattern (darker Blue W shape) which is another bullish signal
Williams R and RSI are both signaling oversold conditions
This should bring the price above the 12K resistance around the end of May 2018 and it can continue climbing from there (See targets of the Double bottom) and wave C ( in green) will be the new wave 1 for the uptrend. Expected price around 25K when the trend is at the last wave (wave 5, many months away).
That is a ton of forecasting.
You can wait for different confirmation signals according to your level of comfort. Here are few examples to enter long at different levels of confirmation
1. after it closes above the falling wedge
2. After it retraces back to hit the upper line of the falling wedge and bounce up
3. after it breaks above the pink resistance line
4. after it retraces back to the pink line and bound up
and so on ...
Please note that I am not giving any trade advice blah blah blah
Let me know what you think
The chart is crowded but let me explain.
We are toward the end of wave 5 which is supposed to be short as wave 3 was extended. (Note Elliot waves in Blue)
Wave 5 is forming a falling wedge (note the wedge in dark red) which is the first bullish sign when the price breaks above the wedge
This also coincides with the double bottom pattern (darker Blue W shape) which is another bullish signal
Williams R and RSI are both signaling oversold conditions
This should bring the price above the 12K resistance around the end of May 2018 and it can continue climbing from there (See targets of the Double bottom) and wave C ( in green) will be the new wave 1 for the uptrend. Expected price around 25K when the trend is at the last wave (wave 5, many months away).
That is a ton of forecasting.
You can wait for different confirmation signals according to your level of comfort. Here are few examples to enter long at different levels of confirmation
1. after it closes above the falling wedge
2. After it retraces back to hit the upper line of the falling wedge and bounce up
3. after it breaks above the pink resistance line
4. after it retraces back to the pink line and bound up
and so on ...
Please note that I am not giving any trade advice blah blah blah
Let me know what you think
Comment:
I think I have to add something important here. BTC should not make a lower low. In other words, It should not fall below 6000. Basically, if it falls below 6000, that means that wave 5 is going to continue to around 4500.
Comment:
it seems that it is following the lines. The price went up following the green line after it hit the upper border of the wedge and now it is going down following the red line down to the lower border of the wedge. Let's see if it will follow the break out lines above the wedge formation.
Comment:
Please remember these two important points
1. A good breakout has to be on good volume
2. if you missed the breakout because the price shot two high before you enter the trade, it will probably retrace back to lower prices and you can buy it then.
1. A good breakout has to be on good volume
2. if you missed the breakout because the price shot two high before you enter the trade, it will probably retrace back to lower prices and you can buy it then.
Comment:
Enjoy the profit.
Caution: strong resistance around 9K
Caution: strong resistance around 9K