Hidden bulls in BTCUSD marketOleg Alexandrov
In the previous overview about BTCUSD I wrote
If we will see some sequence of Weakness (such as SLKT+ND+SB) like it was yesterday -> then the most expectable scenario should be a new bearish attack toward 7200 level.
Now, look at point 1. This is Big SLKT above 7300 level. Study that spike on the 1m in cluster chart. I suppose you will see a lot of green clusters and further move down. If those green clusters were a real strength, why price did move down? So, that green delta clusters was a hidden weakness (triggering of SLs of sellers who placed their SL above ‘safe’ 7300 level).
It was a very aggressive sign of weakness. Entering short there is very risky as movements are wide and time is narrow (Chart 2 shows more info).
Anyway that SLKT above 7300 is history already. What is next?
You should suppose, the outlook is bearish as we have SLKT in point 1 nad several days of decline. Right, these are the bearish facts.
However, let me put your attention on the hidden bullish fact. Before SLKT in point 1, price fluctuated around 7200. Then we got SLKT above 7.3k. And where is price now? 7200. I want to say, if that high-volume during SLKT contained a lot of bearish power, then price should step down to the new low ground. However, #BTC holds 7200 despite high-volume in point 1.
That is why bullish expectations increased despite all indicators are bearish.
Yes, You Can Become a Professional Chart Reader
To build success in any business, you should rely on things that really work.
In Chart Reading Method, they are three: The Law of Inequality, The Law of Supply & Demand, The Law of Effort & Result.
Download free books, to understand how can you apply the Laws and convert charts into profitable setups daily!
Enter your email to Download books
No spam is guaranteed.