Btc has been trading sideways for MONTHS and once again appears to have created a new trading range below our upper price range. 28k area was the low of our upper price range and as price trended up from its 25k area bounce it has put in a pretty clear rejection in the 28k area. At least for now...
Given the long running sideways market, clear rejection, followed by a brake of trend that is currently retesting the brake there is a strong likely hood price will once again return to the bottom of range to the 25k-25500.
There is also clear support levels with in the range and on this 4hr chart we have divided the range in to 25% increments and as usual they are corresponding with past support and resistance levels within the range. As price comes down to these level it is likely to bounce and as it comes up to the them likely to reject.
Current trading plan to short the retest of the brake of trend with bearish candle patterns and or divergence on smaller time frames. Target will be support below in the 2600-26250 where a bounce to one at least one of the levels above. Being the bounce has potential to be sizable a co running long portion may be in order to the 27k area or at any previous key levels where high time frames are giving bearish signals.
IF we see this kind of price action as price comes back up on the bounce it will be a good time to consider if there is a 2nd short available to the bottom of the range. Bearish candle stick patterns and oscillator divergence in the key areas of the bounce will the entry signal for this second potential move to the down side of approximately 6%.
Trade Well.....
Given the long running sideways market, clear rejection, followed by a brake of trend that is currently retesting the brake there is a strong likely hood price will once again return to the bottom of range to the 25k-25500.
There is also clear support levels with in the range and on this 4hr chart we have divided the range in to 25% increments and as usual they are corresponding with past support and resistance levels within the range. As price comes down to these level it is likely to bounce and as it comes up to the them likely to reject.
Current trading plan to short the retest of the brake of trend with bearish candle patterns and or divergence on smaller time frames. Target will be support below in the 2600-26250 where a bounce to one at least one of the levels above. Being the bounce has potential to be sizable a co running long portion may be in order to the 27k area or at any previous key levels where high time frames are giving bearish signals.
IF we see this kind of price action as price comes back up on the bounce it will be a good time to consider if there is a 2nd short available to the bottom of the range. Bearish candle stick patterns and oscillator divergence in the key areas of the bounce will the entry signal for this second potential move to the down side of approximately 6%.
Trade Well.....
