Hi guys,
I'm gonna step away from Elliot Wave analysis, and use a basic indicator that carries alot of weight to give a very strong argument that the bulls are building strength and that we will see the Bullish scenario going forward, not the bearish one!
The RSI is showing bullish divergence on the bigger timescales.... 1H, 2H, 4H.
The price action is establishing a wedge or triangle with lower tops. But the RSI corresponding to those points is showing higher peaks!
This shows the building of strength.... aka RELATIVE STRENGTH INDICATOR.
When this wedge/triangle works its way toward the point.... this bullish divergence paints a strong argument that bitcoin is going to explode upwards.
So compared to my bearish sentiments up to now... I now have mixed signals, and my wave count has proven to be off. In situations like this I exit my positions to cash, until I can build a strong case through further analysis to take another position. This bullish divergence is not enough for me to go long, but enough for me to step away from my shorts. I will be working on new wave counts.... higher and lower timeframes. The bearish breakdown analysis still stands.... if 7300 is broken, then bullish hope is slain. It is very possible we have already seen the bottom at 7700 for the bull run... but I will wait for confirmation instead of taking a gamble right now.
Good luck!
LLCoolRS
If you find these posts useful and helpful, please follow me, like my posts, share, and comment!
The more positive feedback I get, the more motivated I am to post and update!
Disclaimer: This is not financial advice, and is given for educational purposes only. I make the charts, you make your own trades. Never blindly follow internet advice for your financial decisions... any analyst can and will be wrong.
I'm gonna step away from Elliot Wave analysis, and use a basic indicator that carries alot of weight to give a very strong argument that the bulls are building strength and that we will see the Bullish scenario going forward, not the bearish one!
The RSI is showing bullish divergence on the bigger timescales.... 1H, 2H, 4H.
The price action is establishing a wedge or triangle with lower tops. But the RSI corresponding to those points is showing higher peaks!
This shows the building of strength.... aka RELATIVE STRENGTH INDICATOR.
When this wedge/triangle works its way toward the point.... this bullish divergence paints a strong argument that bitcoin is going to explode upwards.
So compared to my bearish sentiments up to now... I now have mixed signals, and my wave count has proven to be off. In situations like this I exit my positions to cash, until I can build a strong case through further analysis to take another position. This bullish divergence is not enough for me to go long, but enough for me to step away from my shorts. I will be working on new wave counts.... higher and lower timeframes. The bearish breakdown analysis still stands.... if 7300 is broken, then bullish hope is slain. It is very possible we have already seen the bottom at 7700 for the bull run... but I will wait for confirmation instead of taking a gamble right now.
Good luck!
LLCoolRS
If you find these posts useful and helpful, please follow me, like my posts, share, and comment!
The more positive feedback I get, the more motivated I am to post and update!
Disclaimer: This is not financial advice, and is given for educational purposes only. I make the charts, you make your own trades. Never blindly follow internet advice for your financial decisions... any analyst can and will be wrong.
Comment:
Note that this triangle/wedge is still wide.... if this bullish scenario does play out, it will take awhile, with probbably another test on the lower channel, as we are just now seeing another rejection at the top of the channel.