Technical Analysis is so subjective...

in #bitcoin4 years ago

You can make a chart say anything you want!

One man's double bottom is another man's breakout.

One man's head and shoulder pattern is another man's consolidation.

You get the point?

Basically people tend to see what they want to see in the charts.

There was a significant downtrend yesterday that broke on BTC around the $35k level, and now others are saying the big downtrend still hasn't broken:

image.png

(Source: https://twitter.com/BitParabolic/status/1420082431382667265/photo/1)

While I do agree that this is a downtrend, I disagree with its significance.

The downtrend we broke yesterday was likely more important.

Though we still do have the 200 MA as well as the horizontal resistance at $40k that we need to break and hold before there real fun begins.

Other than that, it's all subjective.

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There is only one pattern that’s not subjective and that’s a broadening formation and everything that trades trades in a broadening formation everyday

It's like people reporting gas leak in nursery home when it's Thursday and there is pea soup and pancakes for lunch. The nursery home where I work had to stop serving spinach soup also, because it caused too much diarrhea.

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