Short

BTCUSD Analysis

Updated

I'm not providing any trading signal just my analysis on what's happening with BTCUSD. On the Daily time frame the time ratio from leg B to C of the P wave was 9 days. This gives us a clue that the market could potentially reverse.

Note

The market is ranging and is finding support at the cloud. The market is weakening and our evidence is the increase spread to the downside. Once price breaks through the cloud look at price action to confirm a trade. We have a P wave on the daily chart. This gives a Ichimoku practitioner a clue where the market is heading.

Note

Volume to the upside is weak. Notice how the moderate size volume bar gave us a Doji. This means there is no demand and the CO isn't bullish. But since Ichimoku is a trend base system the parameters will keep us out of the market. In my humble opinion a trader should have a buy/sell strategy. However they also need to have a model which analyses where the market is going rather than just flipping a coin and relying on indicators. There are many different theories, Elliot Wave, Three Peaks House Of Doom, Hurst Cycles, Harmonic Patterns, Wolf Waves and the three principles of Ichimoku.

Note

Take note that both Senkou Span A & B are flat. This should deter a trader from looking to trade on the upside. The market is range bound as market sentiment is neutral.

Note

The current swing to the upside looks like a bull trap, a common theme seen in Wyckoff where you have a UTAD finishing on high volume. In my opinion the market is still bearish and will find support at the blue line.

Omar_Ali_Kayani

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.