Recently we looked at long term, by analyzing the weekly time frame chart.
The general trend for right now is , but short term we are having some exposure and the long term view is giving out some strong reversal signals. Take a look at my latest long term analysis here to read about these signals:
In this trade idea, we will look at tricky short term, 4H time frame… So hit LIKE so that we can get started.
- is trading above EMA10, EMA50, and EMA200. The EMA200 is an important one, as tends to get rejected once it moves above this resistance. Now, EMA200 is working as support. This is marked with an orange line on the chart.
- If you see this chart a bit messy, that’s because I have the on. You can see that we have the cloud as support, as well as the fib. levels and moving averages.
- The remains (above 50), which is good for the bulls.
- The is curving and about to have a crossover. The crossover (converging lines) on this time frame is actually pretty good, it can send up nicely.
- I was looking at the SHORTS and LONGS on BitFinex, I will post another trade idea about it and share it below since there are many details to look at.
- is in a tricky situation, because the short term signals are and everybody is expecting a move up. But there hasn’t been any follow up yet and we know that tends to go the other way. So I drew the main two scenarios that I believe can happen with green arrows. The longer it takes to follow up on the last move, the higher the chances that it breaks down rather than up. So we want to move up as soon as possible.
- In my long term analysis I mention a breakout to the upside from late Wednesday to end of Saturday, with the possibility of a 100-150 points swing (a shakeout) before the jump. This applies here as well.
Overall, the signals are still but not by much. Maybe 60%-40% / Bullish-Bearish.
My view: If breaks up, the move will have lots of strength and go higher than what most people think.
If breaks down, it will be a LONG squeeze. I am looking at a long wick to kill some of the longs and resume the breakout we saw last weak.
Conditions for change: The first warning would be a close below $3580 (BitFinex). We put our warnings hat on yet we remain short term. If closes with strength below $3467, then a new analysis is needed as bearish-view/potential takes the lead.
While we remain above EMA10, 50 and EMA200, we continue with our view.
Pattern formation: The famous , which shouldn’t anymore as it almost always breakdown, also points to a break to the upside.
If you want to trade based on this information, please visit my XBT LONG with 100%+ ROE potential trade here:
Thanks a lot for reading and…
Remember to hit LIKE!
Namaste.
Published at Fri, 15 Feb 2019 12:56:08 +0000