Looks as if we have formed a pennant / wedge on the 4hr - Realistically 2 options:
1 ( Bullish ): Push out of the wedge and move up quite rapidly to break the 23.6% fib and see price close above it where it will use the 23.6% as support as it has done in the past, otherwise if we move to the upside of the wedge and dont push up to this area I believe we will just continue to consolidate inbetween the 2 key fib points again. Another thing to keep in mind is we are still holding bullish divergence on RSI .
2 ( Bearish ): Break below the wedge and find support on the 38.2% fib which is looking more likely as the wedge is heading down and it appears as if our EMA's may bearishly cross on the next close.
The next few 4hr candle closes will more than likely tell us whats going ot happen next.
If we drop to the 38.2% fib and price does hold there and BTC remains bullish I may consider using it as an area to place a buy order.
1 ( Bullish ): Push out of the wedge and move up quite rapidly to break the 23.6% fib and see price close above it where it will use the 23.6% as support as it has done in the past, otherwise if we move to the upside of the wedge and dont push up to this area I believe we will just continue to consolidate inbetween the 2 key fib points again. Another thing to keep in mind is we are still holding bullish divergence on RSI .
2 ( Bearish ): Break below the wedge and find support on the 38.2% fib which is looking more likely as the wedge is heading down and it appears as if our EMA's may bearishly cross on the next close.
The next few 4hr candle closes will more than likely tell us whats going ot happen next.
If we drop to the 38.2% fib and price does hold there and BTC remains bullish I may consider using it as an area to place a buy order.