Bitcoin is still stuck within a larger continuation pattern it's
been cranking out since the lows 24 hours ago.
There's a useful dynamic underpinning the rally so far which
has just been tested and held. Day traders are using it as the
final stop/reversal short for longs by look of it.
If long here it's not a bad idea to adopt the same policy.
Whilst it holds can stay long, looking for 6901 and the
uppermost rising parallel - needs to push above here to reach
a maximum upside target at 7150-7160 where it should fall
And if not, this decline may grind on to 23:30gmt/18:30 est or
longer still (the last continuation pattern lasted four and a
half hours). But so long as it holds the parallels as it does it
Bitcoin can be bought on exit of the upper parallel with stops
Any break below the rising dynamic will tip Bitcoin into
negative territory and increases the chance that the lower
rising parallel will not only be retested but eventually will
break to the downside. And if it does the fall should be worth
shorting or adding to from there with stops above the same
line once broken below, targeting 6520-6452 range.
Final/last-gasp support here lies at 6452.
If that level gives way by over 10 points at any stage it's a
short once more with stops above 6520. The next support
below here/downside target is 5879, then 5130.
Bitcoin made an overnight hight at 6893, some 8 points shy of the first upside target at the upper parallel before falling away below the rising dynamic which then triggered a short from current levels around 6844. But in the interim Bitcoin has spent the night moving sideways in an unusually tight range between the 6813 support line and the resistance line just above at 6849.
It's therefore about as neutral as it's ever been in recent memory. So can close the short is still in position here. It's too neutral here to hold it really.
It has to break above 6870 to trigger a long with stops below 6840, looking for 6955 line and then 7150-7160 once 6955 is broken above.
On downside so far Bitcoin is hammering out support above the stucture sitting below it. Whilst it continues Bitcoin is not negative and cannot be shorted. It has to move below the 6771 line here and the lower rising parallel to tip it back into bear territory and to trigger another short back to 6698 line initially and potentially much lower still.
Bitcoin Bitfinex Chart Update
Mass of tiny spikes gathered at 6860 - two hours of this - bot wars here
Can close out now - was wanting to sell but it's risky - if so put a stop just 5 above this new high on Coinbase
If it breaks higher than that can get long/reverse with stops below 6945.
Tricky here now
this short is under pressure from stop hunting bot mofos.
Can put a tiny dynamic under price which has a bot-like vibe as it rises- should start to lose and flip lower once lost - can short again/addor open fresh short once it does - or from blue line at 6955 with stop 10 higher - ready to reverse long if hit (as previous updates)
If you are interested in charts you might find the Dollar charts interesting today
If only interested in Bitcoin please scroll down.
The Dog That Didn't Bark
Normally the market buys the Dollar on first sign of war.
But DXY shows that the dollar still has friends right now.
Weak and the pairs are buys, especially Euro on DXY rallies to the upper parallel.
DXY should hit 88.94 over the next 24 hours.
DXY likes parallels too - just a big grown-up Bitcoin really. Well, geriatric I suppose in comparison.
DXY Bigger Shot
And Bitcoin on different time scale completely
Spot the Similarities?
Lower stop on this short to 6933 - can snap back to top of what could be a flag forming - and if so it will break higher later - too early to say yet awhile - but could be.
otherwise will have to leave the stop at 6970 which is OK for swing traders and only means a 10 point loss if hit .
If it can pull above 6933 it will likley flip higher to the upper parallel of the flag as stops begin to ping. Set stop now. Decide and act.
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