CONFUSED with BTC? Here's my play.
Updated
3 things I would like to highlight today, each with a separate strategy of how I am trading my beliefs against this market.
The red circle: This downtrend channel was formed in early April and we broke down on 9th May. Now the bottom of the channel is acting as a strong resistance that we have to break in order to see BTC getting that relief rally and I have mentioned this before we are due for it. Anything around 31k would be a nice short opportunity since we have not tested it yet.
The green circle: It was drawn on the middle line of a macro channel that started in December '17. I will post this in the comment to see it clearly. It had a nice reaction in the past despite being the middle line of the channel. This green circle is around 27.9k at the time of posting and will be acting as support. This will be the point where I start buying BTC again. Remember this is a very macro view so trading here is not advisable. My current plan (this may change as the market presents new information) is to DCA from 28k all the way to 25k and put a stop at 22.1k as we may see a capitulation (long wick down) before a nice move up.
The Rectangle: The market is in sideways or you can call it a horizontal channel. The top of the rectangle will be acting as resistance and the bottom acting as support. I will be trading any attractive ALTS here with low risk.
Long: Buying when BTC touches 28.8k and start TP when it goes to 29.5k.
Short: Selling when BTC touches 30.1k and start TP when it goes back to 29.4k.
Do reply in the comment if you need further clarification.
The red circle: This downtrend channel was formed in early April and we broke down on 9th May. Now the bottom of the channel is acting as a strong resistance that we have to break in order to see BTC getting that relief rally and I have mentioned this before we are due for it. Anything around 31k would be a nice short opportunity since we have not tested it yet.
The green circle: It was drawn on the middle line of a macro channel that started in December '17. I will post this in the comment to see it clearly. It had a nice reaction in the past despite being the middle line of the channel. This green circle is around 27.9k at the time of posting and will be acting as support. This will be the point where I start buying BTC again. Remember this is a very macro view so trading here is not advisable. My current plan (this may change as the market presents new information) is to DCA from 28k all the way to 25k and put a stop at 22.1k as we may see a capitulation (long wick down) before a nice move up.
The Rectangle: The market is in sideways or you can call it a horizontal channel. The top of the rectangle will be acting as resistance and the bottom acting as support. I will be trading any attractive ALTS here with low risk.
Long: Buying when BTC touches 28.8k and start TP when it goes to 29.5k.
Short: Selling when BTC touches 30.1k and start TP when it goes back to 29.4k.
Do reply in the comment if you need further clarification.
Trade closed: target reached
managed to trade ALTS in 3 occasions as mentioned in the rectangle I am following. From the time of posting, BTC tapped the top of the rectangle, back down almost touched the bottom of the rectangle and bounces up again. Now approaching back to the resistance to meet the Red Circle I drew. What I am going to do next is to wait for a nice entry confirmation for a short at 31.08k.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.