We appear to be forming a second/smaller falling wedge that would break out some time tomorrow and take us back up to the resistance line at around 8950. It's a small trade but worth playing if you can wait for it. As always, don't try to front-run or be a hero. Wait for confirmation. Any higher-time-frame candle close under 8640 invalidates the wedge and most likely means we are head back to the 8100-8300 area.
Cheers and happy trading.
Commentaire
⋅
Well.- doesn't always happen that way but that one played out pretty much as planned (although broke a little than I thought) and we hit the yellow arrow target. Now if we can confirm the lower part of the blue box (around 8820) as support, it will look good for continuation. We'll see...
We lost momentum from the beginning of the week, we are in the local downtrend... it means it's more likely we will test 8250$ to me, everything looks bearish to me
CryptoTraderMark10
⋅
@krystiann99, We definitely could. Like I said in my description, if we close a higher-timer-frame candle under 8640 then the wedge will be invalidated and we are likely going back down to the 8100-8300 area. That said - there are very bullish aspects to this downtrend as it's forming the "handle' part of cup & handle patterns on multiple time frames. But again, those C&H patterns get invalidated pretty soon with more downward PA.