Yesterday I said if price broke above the neckline of the inverted head and shoulders, it would likely hit $7,540.
Today, price did break the neckline and, while it didn’t hit my $7,540 target (at least not yet), it did reach $7,475.
Looking at the 4 hour RSI, we can see it’s rather overbought. This suggests a pullback is likely in the near future.
I believe this will be a healthy wave 4 pullback, setting up wave 5 to possibly break above the $7,700 resistance. There are 2 scenarios in which I feel this may take place. Scenario 1 has wave 3 not yet complete. It would have wave 3 targeting about $7,700 and might play out like this:
Scenario 2 has wave 3 nearly complete, with wave 4 preparing to begin. Here’s how this scenario may play out:
There’s a third scenario that’s more bearish. It has bitcoin making another run at the $7,490-$7,700 resistance zone and getting rejected (double top). If that happens, we can expect bitcoin to drop back down and test the prior $6,800 resistance, which should now act as support. Here’s how this might play out:
My big picture count remains the same.
If price can rise above the descending resistance line, I’ll start believing we completed an ABC correction, and are now implusing up as shown below.
Looking at the daily chart, we can see price has risen above the 55 day EMA. If todays candle can close above, that would signify strength, and help solidify the gains made in the last few days.
Watch my video analysis for much more detail not found above:
Video Analysis:
BIAS:
Short Term: Slightly Bullish
Longterm: Very Bullish
I hope this has been helpful. I’d be happy to answer any questions in the comment section below. Until next time, wishing you safe and profitable trading!
Workin
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by Workin2005
I'm starting to gain some SUBSTANTIAL and CONSISTENT gains in understanding of the technical analysis stuff as I continue to watch these videos. As you REPEAT some of the core concepts, and show them in action (ex. the role of algorithms in the larger process, the visual/patterns which indicate market manipulation, the RSI in action, etc.) the charts are PROGRESSIVELY starting take on more dimension, and I am MORE EAGER to watch each new episode. Keep this up. Your mentorship efforts ARE INDEED being benefitted from. In return, I am trying to help SCALE this valuable tutorials so that MORE people, like myself, can benefit from your effort. Keep it up...
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Thanks for the kind words @transcript-junky. I'm very glad to hear you're starting to make gains. Also, thanks for your continued support. I hope you're able to CRUSH the market my friend!
Everyone waiting for the resistance at $6800, now everyone waiting for the resistance at $8000 :D
Yes sir..Let's get past $7,700 first...then I'll be looking to break $8,000. ;-)
bro yes bulls are back for short term , because der were many waiting at $5000 to buy bitcoin again , now they have changed their mind and bought again 6500, they had sold at 7600 planning to buy again at $5000,
If you've been following my updates, you know I've been warning about that possibility for over a mont. If btc can break above the larger descending resistance, it'll have a shot at a longer term bull run. Unitl then, my primary count remains ABCDE.
wow nice concept sir..
sir i give you upvote .sir plese give me upvote and follow me.i am new hear
Market is gradually getting bigger.