Looking at the CEXIO::4H chart, it's easy to see we are in a minor downtrend (orange dotted line) channel for the last two days. Unfortunately, we did not pierce the top of the major downtrend channel (dashed cyan line). We did test the $11k resistance line for a while, but failed to rocket above it.
Furthermore, we have fallen below the EMA100 and on course to the yellow dashed line which highlights the bottom support trend from 2017Q2. Looking at the Ichimoku cloud, we are flying through turbulence while crashing into bear country. Worth noting that the CME BitCoin Futures expires today. I suspect this will add further sell-pressure. However, if we manage to breach the minor downtrend channel, I expect to see a lot of sideways trading over the next few days. If we should fall below the yellow dashed line, then I would close all my longs as we will see a deeper cut while the bears push us down the to 38.2% fib.
Also, the Chinese New Year festivities will be officially ending this weekend. So, we might see the Chinese bulls start to rally from next week. As always, check your TA charts before deciding your game plan.
Good luck trading!
*** For entertainment purposes only, this does NOT constitute financial advice. ***
Furthermore, we have fallen below the EMA100 and on course to the yellow dashed line which highlights the bottom support trend from 2017Q2. Looking at the Ichimoku cloud, we are flying through turbulence while crashing into bear country. Worth noting that the CME BitCoin Futures expires today. I suspect this will add further sell-pressure. However, if we manage to breach the minor downtrend channel, I expect to see a lot of sideways trading over the next few days. If we should fall below the yellow dashed line, then I would close all my longs as we will see a deeper cut while the bears push us down the to 38.2% fib.
Also, the Chinese New Year festivities will be officially ending this weekend. So, we might see the Chinese bulls start to rally from next week. As always, check your TA charts before deciding your game plan.
Good luck trading!
*** For entertainment purposes only, this does NOT constitute financial advice. ***
Comment:
Looks like we have broken out of the micro downtrend channel but we are still in the major downtrend (dashed cyan trend line). We need to pierce the $12.7k mark before we can start looking for $16K.
Will we see a rally on Monday? Stay tuned!