We have reached the target 3200 as expected. I think the time to retest 4000, 4150 W1 EMA200 and 4400 prev high in an upwards correction will come soon as more buyers step in.
SEC deadline is postponed once again to Feb 27 as expected – no surprise runs any time soon.
bullish:
– oversold on W1 again
– almost touched W1 SMA200 support
– divergence forming on H1, H4, D1 and H4, D1
– 12×26 cross on H1 and on H4 soon
– seems like wave 5 of C/Y is in (could go lower though)
bearish:
– sell is rising but it is also falling compared to the first leg of the drop, so it could mean absorption before reversal
– DJI/SPY can still go lower to complete an correction. If closes below 253 we may have a deeper correction towards W1 EMA200 (240) while going below that could mean a recession.
And recession will be catastrophic for all things crypto because people will have other things to think of: mortgages and forclosures, losing their jobs, defaulting on loans, bankruptcies etc causing a domino effect.
Good news: As Bands show, divergence on D1 can’t be invalidated – requires a drop to prev D1 low 10, which translates to zero price – not possible.
This means that we’re near this year’s bottom. Even if there’s one more leg down, no matter how deep it is, we will definitely go up after that.
Bad news: technically we could drop to 2750 first.
red and green arrows represent the 2 scenarios that I see.
Good Luck!
Please don’t trade based only on my analysis. This is not a financial advice. Do you own research to confirm.
Published at Sat, 08 Dec 2018 05:57:13 +0000
