A view on the weekly chart to help visualise the bigger picture.
We are are now in the third week of testing an uptrend support line from early 2017, blue dotted line marked B1, it has been great support for the previous 2 weeks holding at 6400 and 6500 lows and currently has held us above 6600 so far this week.
The good news is that it looks like if the support will continue to hold and carry us for a further two weeks we will break out of the overall downtrend and we may get the bullish sentiment we are all longing for. Notice we are also in a triangle hatched red, this action will also break the triangle pattern. Off we go to happier days!
The bad news:
Many TA's are calling the double bottom at 6k or 5.8 on other exchanges, i would agree that this is very likely but i do not see it as a big support, i have marked it up as 5967 for reference, we could see the price action drop through the B1 support line and pierce the 6k but with a quick bounce with buying volume like the last time on 5/6th Feb.
The failure to bounce at 6k this time will continue the bear trend and likely invoke the retrace to the 0.236 fib support of 5396. If this support does not hold we can see whats going to happen next! We have two further long term uptrend supports to rely on, blue dotted lines B2 & B3, if B2 does not give us our support at 4400-4500 we may as well just sit back, rip open a cold one and accept the fact that we are going for full retracement back to around 1k sometime in June or July.
With the recent news this could be due to market manipulation and strategically engineered for the benefit of Mr Soros.
Anyway to cap it off i am hopeful that we do not get there and by the end of April we are up out of the downtrend and up and away.
All the best
We are are now in the third week of testing an uptrend support line from early 2017, blue dotted line marked B1, it has been great support for the previous 2 weeks holding at 6400 and 6500 lows and currently has held us above 6600 so far this week.
The good news is that it looks like if the support will continue to hold and carry us for a further two weeks we will break out of the overall downtrend and we may get the bullish sentiment we are all longing for. Notice we are also in a triangle hatched red, this action will also break the triangle pattern. Off we go to happier days!
The bad news:
Many TA's are calling the double bottom at 6k or 5.8 on other exchanges, i would agree that this is very likely but i do not see it as a big support, i have marked it up as 5967 for reference, we could see the price action drop through the B1 support line and pierce the 6k but with a quick bounce with buying volume like the last time on 5/6th Feb.
The failure to bounce at 6k this time will continue the bear trend and likely invoke the retrace to the 0.236 fib support of 5396. If this support does not hold we can see whats going to happen next! We have two further long term uptrend supports to rely on, blue dotted lines B2 & B3, if B2 does not give us our support at 4400-4500 we may as well just sit back, rip open a cold one and accept the fact that we are going for full retracement back to around 1k sometime in June or July.
With the recent news this could be due to market manipulation and strategically engineered for the benefit of Mr Soros.
Anyway to cap it off i am hopeful that we do not get there and by the end of April we are up out of the downtrend and up and away.
All the best