👻 TRADING ANALYSIS [BTC]: A complete recap on Bitcoin, current pricing and were it will go 💣📢

tatchcapital (47)in #cryptocurrency • 8 years ago

Hello folks !

As requested by some TCN members ⛴ and friends, here is a recap on BTC.
Let's break it down most simply as possible while remaining technical.

We are all TA, price don't care about news, FUD, FOMO, etc or rather it 'integrate' it so forget about any why and let's focus on where and how.

1) What happened ?

As you can see since April BTC made 3 nice pushs upward or Elliot impulse waves if you prefer.
Each was follow by more or less sharp corrective waves.

We also had a failed/fake reversal around 6000$ that turn out to actually be some stophunting.
Price then made a third push till +/- 7700$

2) What's going on ?

Well we have some quite significant "signs":

First this huge bear doji candle on H4. This set the range and stop further price discovery.
It sets up a 'huuuuuge' (use Donald voice), I-O-I pattern (inside - outside -inside bars). This kind of pattern/psychological setup put price in starting block for a sharp move like we saw it happen in 1).

3) What will 'most probably' happen ?

Well if you read previous analysis you already know are zone of interest (short take profit targets) are: 5777$ (TP1) and 4440$ (TP2).

Now if you look at the range in details, it give us a good selling zone at the top of the range, between 7600$ and 7800$ ('sell high, buy low').

"yeah but what if price goes even higher ?"

Well anything that can happen eventually will happen, this is why beside risk management you should use a sounds money management system ! Never put more than 2% of your equity balance at risk on a single trade !!!

4) Potential trades examples:

Price undershoot Entry: 7777$ - Stop loss: 8007$ - RR to TP1: 6,66 - RR to TP2: 11,11 😉
Price overshoot Entry: 8100$ - Stop loss: 8400$ - RR to TP1: 7,74 - RR to TP2: 12,2