Head and shoulder reversal pattern forming on BTC USDT 4h?
Hello guys, here is my frst analysis attempt, thanks for your feedback, what do you think?
On the BTC USDT 4h we can extrapolate the possible formation of a head and shoulder pattern, confirming the reversal trend. The lower part of the right shoulder meets strong resistance through the EMA 50, 0,236 retracement, the lower line of the uptrend channel and the horizontal support at 10.500 which fought heavily on the way down before giving up, and which is being tested for the second time in the recent days.
If we draw an Elliot wave on the 4H (not on the drawing cause too messy), we can also imagine the C part of te consolidation wave forming the right shoulder. Don't know up tp where though... To be assessed when and if we get there!
If that doesn't hold, then I am placing a stop loss just below the 50EMA and 0,238 retracement, at around 10300...
On the BTC USDT 4h we can extrapolate the possible formation of a head and shoulder pattern, confirming the reversal trend. The lower part of the right shoulder meets strong resistance through the EMA 50, 0,236 retracement, the lower line of the uptrend channel and the horizontal support at 10.500 which fought heavily on the way down before giving up, and which is being tested for the second time in the recent days.
If we draw an Elliot wave on the 4H (not on the drawing cause too messy), we can also imagine the C part of te consolidation wave forming the right shoulder. Don't know up tp where though... To be assessed when and if we get there!
If that doesn't hold, then I am placing a stop loss just below the 50EMA and 0,238 retracement, at around 10300...
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Here the possible Elliot wave playing with the resistance...
