Bitcoin (BTC) Thursday(May 10) UPDATE: Did you see what happened?
HOORAY on calling the fall on BTC. If you missed out and bought (BTC) yesterday, go see what I wrote yesterday about (BTC) on my blog.
If you read my blog on time, CONGRATULATIONS! I saved you about $300.
Let me continue from yesterday's TA.
- After my bearish call on (BTC) yesterday, price DROPPED from $9350 to $9050 (this isn't part of the ta, just bragging)
- We found support at the trend line (take a look at candle chart below).
- Had a bull trap but still forming a perfect symmetrical triangle. Symmetrical triangles are difficult to predict which way they will break out. (plain english: don't trade right now)
- RSI is being tested at support. We must wait and see if RSI will hold at support or break below.
- MACD is continuing downward motion on 1 day chart. We can see bullish divergence on 12hr histogram.
(MACD is a lagging indicator. Only use it to find confluence with other analysis)
Summary:
I can still see many bearish signals that can bring down the price further. Trading (BTC) is a nono! Don't trade.
A break above $9,970 will confirm short term bullishness.
Wait for the squeeze breakout and WATCH OUT FOR TRAPS.
If we confirm a break below $8,870, we are pretty much free falling to 0.5 fib range, about $8260. Problem is, all elliot wave traders know how much (BTC) likes to retrace to 0.618 region and come down as low as $7840!!
Simple summary:
(BTC) is still BEARISH on 1 day chart.
Wait for it to break out of the squeeze.
Wait.
I will let you know once I see bullish confirmations.
Once we have bullish confirmations, we can target profit zones.
Wait and wait.
WAIT FOR BULLISH CONFIRMATIONS.
Most people lose their trade by entering early.
SO WAIT!!
Better late than broke.