BitcoinLong
BTCUSD 1H chart (6/28/2019)
Good morning, traders. The update I posted yesterday to my TV chart was spot on and price bounced out of the red box. I first went long around $10776. On our paid Discord side, traders were able to trade along with me and get an explanation of what I was seeing and what it meant as I bought and sold this move up. Unlike other Discord servers out there, ours is an immersion experience for new and seasoned traders. This allowed many of them to enter much closer to the reversal as we noted a possible double bottom forming around $10300 on the very short TF chart which also tested the 1H pivot as support. Ultimately, we have seen an almost $2000 price increase in less than 24 hours.
Now I know that most traders out there are swearing this is the larger correction and that price will head further down. However, I am not of that mind just yet. I warned that we would see strong moves like this while price is parabolic. It doesn't matter whether it's some "whale" selling 100M of Bitcoin on Coinbase or something else, the underlying cause for the strong movement is psychological. With price pushing hard and fast upward, traders of all wallet sizes tend to get scared and pick opportunities to lock in profits along the way. When the initial sell is large enough, it causes retail traders to sell out of fear and this cascades, especially when the order books are thinly bid due to the large, strong upward movement of price. Simply put, there just isn't enough of a base right under price when the selling starts to support it. While that doesn't mean that I am ignoring the possibility of a larger movement down, it does mean that I am looking at more bullish price structures and targets until they no longer play out. This means that I am buying the dips rather than shorting the rallies at this time. If it does head further down then the mid-9000s, as I have been mentioning, would be the likely bounce zone. The ~$2000 increase over yesterday's low, coupled with 5x leverage on Kraken and making a total of 4 trades in that time, has resulted in a 100% increase in that trading account. This is without shorting, only longing, the dips. I am known to constantly explain to novice traders that they do not have to utilize 50X or 100X leverage to make money. They just have to trade intelligently. And I continue to prove that to our Discord members in real time thereby giving them the confidence to let go of their preconceived notions about trading so that they can create real, lasting wealth for themselves.
So where are we at now? In terms of the larger picture, price is currently attempting to push, and remain, above the 1H R1 pivot/2018 TR resistance around $11,800 (the purple horizontal line). The long red horizontal lines are the weekly pivots with the one below price being the pivot and the one above it being the R1 pivot. A daily close back above this ~$11800 level would be bullish. While the weekly candle doesn't look too hot at the moment, with 3 days left until the candle closes there's more than enough time to change it. We can see that price exited the large descending wedge and is currently back above the 1H 21 EMA. Notice that the target of the wedge is just above that weekly R1 pivot. Additionally, we can see a possible double bottom on this 1H chart as well. While price has closed above the swing high between the bottoms, I want to see price bounce off that swing high resistance and use it as support, which is what it appears price is attempting to do at this time. If it does, then the target of the double bottom is also near the weekly R1 pivot as shown. This could also be seen as an ascending triangle, however the target remains the same so feel free to use whichever pattern you are more comfortable with. Both of these targets are above the 1H R2 pivot as seen as well. That kind of movement would be considered bullish. Although demand volume is growing, without a strong show of demand just yet, I am going to be wary around ~$12500 for now.
Finally, I wouldn't be surprised to see price build a base in this area, similar to what was done at the $8000 level. So far we have had the large initial drop that creates the TR. As such, if price doesn't immediately take out the daily swing high from a couple of days ago, just under $14000, I would pay attention to price within the larger TF TR. Does it find support at the TR's EQ after testing that swing high? As we can see, that is currently level that price is consolidating just below. If so, then I would be extremely careful about attempting to short as price will more likely than not continue higher as I have already been expecting. As always, I will be discussing this and more in this morning's YouTube video (link is below).
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
Now I know that most traders out there are swearing this is the larger correction and that price will head further down. However, I am not of that mind just yet. I warned that we would see strong moves like this while price is parabolic. It doesn't matter whether it's some "whale" selling 100M of Bitcoin on Coinbase or something else, the underlying cause for the strong movement is psychological. With price pushing hard and fast upward, traders of all wallet sizes tend to get scared and pick opportunities to lock in profits along the way. When the initial sell is large enough, it causes retail traders to sell out of fear and this cascades, especially when the order books are thinly bid due to the large, strong upward movement of price. Simply put, there just isn't enough of a base right under price when the selling starts to support it. While that doesn't mean that I am ignoring the possibility of a larger movement down, it does mean that I am looking at more bullish price structures and targets until they no longer play out. This means that I am buying the dips rather than shorting the rallies at this time. If it does head further down then the mid-9000s, as I have been mentioning, would be the likely bounce zone. The ~$2000 increase over yesterday's low, coupled with 5x leverage on Kraken and making a total of 4 trades in that time, has resulted in a 100% increase in that trading account. This is without shorting, only longing, the dips. I am known to constantly explain to novice traders that they do not have to utilize 50X or 100X leverage to make money. They just have to trade intelligently. And I continue to prove that to our Discord members in real time thereby giving them the confidence to let go of their preconceived notions about trading so that they can create real, lasting wealth for themselves.
So where are we at now? In terms of the larger picture, price is currently attempting to push, and remain, above the 1H R1 pivot/2018 TR resistance around $11,800 (the purple horizontal line). The long red horizontal lines are the weekly pivots with the one below price being the pivot and the one above it being the R1 pivot. A daily close back above this ~$11800 level would be bullish. While the weekly candle doesn't look too hot at the moment, with 3 days left until the candle closes there's more than enough time to change it. We can see that price exited the large descending wedge and is currently back above the 1H 21 EMA. Notice that the target of the wedge is just above that weekly R1 pivot. Additionally, we can see a possible double bottom on this 1H chart as well. While price has closed above the swing high between the bottoms, I want to see price bounce off that swing high resistance and use it as support, which is what it appears price is attempting to do at this time. If it does, then the target of the double bottom is also near the weekly R1 pivot as shown. This could also be seen as an ascending triangle, however the target remains the same so feel free to use whichever pattern you are more comfortable with. Both of these targets are above the 1H R2 pivot as seen as well. That kind of movement would be considered bullish. Although demand volume is growing, without a strong show of demand just yet, I am going to be wary around ~$12500 for now.
Finally, I wouldn't be surprised to see price build a base in this area, similar to what was done at the $8000 level. So far we have had the large initial drop that creates the TR. As such, if price doesn't immediately take out the daily swing high from a couple of days ago, just under $14000, I would pay attention to price within the larger TF TR. Does it find support at the TR's EQ after testing that swing high? As we can see, that is currently level that price is consolidating just below. If so, then I would be extremely careful about attempting to short as price will more likely than not continue higher as I have already been expecting. As always, I will be discussing this and more in this morning's YouTube video (link is below).
Every day, we have a choice to act positively or negatively, so if you get a chance, do something decent for someone today which could be as simple as sharing a nice word with them. You just might change their day, or even their life.
You can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
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