As you can see we were rejected at the 200 day however this time we did not fall back as far...

This is out second attempt to break the 200 day moving average but as you can see unlike last time we did not fall back as far this time and I do not believe we will. I believe that was the last time we will fail to break the 200 day and the next time we see the 200 day it will be serving not as resistance but as support. For those of you who do not know these terms, resistance is the price level where there is more people selling then there is people buying and they tend to be at big even numbers like 10 thousand. If you think of it in terms of people and not numbers, many people will invest at X dollers and say "I will sell when it hits $10,000" and more people will pick big evens then other random numbers. Support on the other hand is the price at which more people want to buy then sell, this also tends to be at big evens. People will set a buy order for when the price falls below X dollars. Now aside from Big evens, support and resistance tend to be at previous support and resistance and the reason being is because it is people buying and selling. Think of it like this, here is a guy looking to buy into Bitcoin so he looks at previous price action and sees that Bitcoin has gone as high as $9900 and as low as $9500 this week but it is currently at $9770 so he ponders when to get in and out. The mans things to himself that well if it gets close to $9500 I should buy and if it gets to $10,000 I should sell, but then he looks at more of a long term chart. This is the way you should consider the moves of the average investor. Now the more savvy investors will look at charts and see previous resistance and support levels, as well as other technical indicators but there are more investors without basic charting skills then there are savvy investors as a whole so use this knowledge to your advantage.

As you can see in this chart we are getting higher lows as we fight our way through this resistance sell wall at the 200 day Moving Average and big even of $10,000 USD. I think this will be the last failed attempt and we will see bigger gain very soon. Well as I said in the article before last I am on vacation with my family at Disney in Florida so my time is very limited to write articles, I hope you all enjoy and I look forward to hearing from you all.

I am not a financial advisor and this is not financial advice, invest at your own risk.

Comments always welcome here my friends!