BTCUSDT - 1D - Bull Trap False Breakout?
The chart shows two important liquidity zones.
The blue zone at the top is what we are concerned with right now.
If today's daily candle closes below this zone then we can expect a quick run lower, followed by a retest of the zone's bottom level. If price does not pierce this zone on it's retest, then we can expect a pretty significant downtrend.
This possible downtrend has two entry points where we can open new orders or add to profitable orders - assuming this plays out as we think it will.
With that being said, this is an unconfirmed setup as of right now. If price closes inside the top blue zone then do not open any orders - watch and wait status. If price closes today above the top blue zone then this setup is completely invalid and should be discarded with a new analysis being done.
The bottom blue zone is an important liquidity zone on the weekly time frame. Therefore, it makes more a great signal to take profits if this bearish scenario does indeed play out.
Happy hunting!
-Cache
The blue zone at the top is what we are concerned with right now.
If today's daily candle closes below this zone then we can expect a quick run lower, followed by a retest of the zone's bottom level. If price does not pierce this zone on it's retest, then we can expect a pretty significant downtrend.
This possible downtrend has two entry points where we can open new orders or add to profitable orders - assuming this plays out as we think it will.
With that being said, this is an unconfirmed setup as of right now. If price closes inside the top blue zone then do not open any orders - watch and wait status. If price closes today above the top blue zone then this setup is completely invalid and should be discarded with a new analysis being done.
The bottom blue zone is an important liquidity zone on the weekly time frame. Therefore, it makes more a great signal to take profits if this bearish scenario does indeed play out.
Happy hunting!
-Cache
Weekly signals outweigh Daily signals.
Daily signals outweigh 4 Hour signals.
4 Hour signals outweigh 1 Hour signals.
And 1 Hour signals outweigh 15 Minute signals.