You can see the is showing quite a bit of momentum here this is a good signal but its still not strong enough to confirm the move.
We are currently bashing up against the 200ema on the 4H chart here which is causing some strong resistance, I would not trade BCC until we had a close over this so the 200EMA it can then provide support and we can set our stop loss slightly below the 200EMA at this point.
Circled in red you will see the 20ema cross the 50ema showing us some signals.
I would also like you to observe closely at the candle that retraced circled in red, we had very aggressive buys that come in and left behind a large shadow on the candle.
You will see on the below we have been in a downward trend since mid January, therefore if this is the turning point for BCC we could be in for some very nice growth. This would be a long trade and I don’t expect any fast growth from BCC taking into consideration the current market conditions.
BTC is suffering today hanging on to its support by a little thread and coming into the weekend there will be less money in the market so more then likely we will see it decline. This will be the reason I don’t enter this trade, however if we close over the 200EMA and BTC has already broken support at this point I would trade BCC .
Right at the moment I suggest we observe and protect our capital and wait for the next move I will keep this updated.
I have set targets on this chart because if we get the signals we need we can trade and I will update this post.
Cash Is King!