BitcoinShort
BITCOIN: First red day, on DAY 3!
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Bitcoin, it's currently establishing a template of pump and dump that I really like and already traded many times in the past few years, on several instruments. There is a good chance to complete the full pattern of pump and dump during the upcoming days.
But let's see the overall weekly situation to understand better the thesis behind.
Let's start quickly to say that the current week is INSIDE the previous weekly high low, meaning that I do not see weekly higher time frames involve in this move, as well because today we don't have any major red news on calendar, I would consider a potential short entry only an intraday position.
Monday is the opening range of the week, it triggered HOD and LOD levels, closing in breakout short, inside the previous weekly high low range, shorts traders were involved in this specific day.
Tuesday the market dumped back down into the low of Monday, failing the attempt to break lower, still we have shorts involved and potentially now trapped into the low of the week.
Wednesday, day 3 of the week, we can see a three days dump and pump completed in the week, shorts from Monday are stopped out and long breakout traders are in the market, but once the HOW has been reached, is really important to understand the behaviour of price on that level.
Thursday, long traders attempt in three pushes to break higher, basically consolidating up high and closing the day down, as a first red day.
Today, Friday, the market placed a lower low into the yesterday low of day (which it could represent a weakness in the market) and currently pumping up into the current high of day / most recent swing high in the market.
THESIS:
-Short: this is my main thesis right now, I would like to see the market consolidating up high into the current HOD, starting breaking down in NY session for either a session scalp pump and dump, targeting LOD, and eventually trailing to further levels as breakout level of Tuesday high (because breakout traders long entered the market without any retest of that area), eventually closing of Tuesday and as well low of Wednesday, all these level can be very reactive.
- Long: as always, I'm not here to make forecasting or prediction, but I'm only looking for setups in specific templates that play out over and over again. Bitcoin can still keep breaking higher giving a long trade back to the HOW, where the beginning of the dump started.
In the next update, I will be showing the intraday overview.
Bitcoin, it's currently establishing a template of pump and dump that I really like and already traded many times in the past few years, on several instruments. There is a good chance to complete the full pattern of pump and dump during the upcoming days.
But let's see the overall weekly situation to understand better the thesis behind.
Let's start quickly to say that the current week is INSIDE the previous weekly high low, meaning that I do not see weekly higher time frames involve in this move, as well because today we don't have any major red news on calendar, I would consider a potential short entry only an intraday position.
Monday is the opening range of the week, it triggered HOD and LOD levels, closing in breakout short, inside the previous weekly high low range, shorts traders were involved in this specific day.
Tuesday the market dumped back down into the low of Monday, failing the attempt to break lower, still we have shorts involved and potentially now trapped into the low of the week.
Wednesday, day 3 of the week, we can see a three days dump and pump completed in the week, shorts from Monday are stopped out and long breakout traders are in the market, but once the HOW has been reached, is really important to understand the behaviour of price on that level.
Thursday, long traders attempt in three pushes to break higher, basically consolidating up high and closing the day down, as a first red day.
Today, Friday, the market placed a lower low into the yesterday low of day (which it could represent a weakness in the market) and currently pumping up into the current high of day / most recent swing high in the market.
THESIS:
-Short: this is my main thesis right now, I would like to see the market consolidating up high into the current HOD, starting breaking down in NY session for either a session scalp pump and dump, targeting LOD, and eventually trailing to further levels as breakout level of Tuesday high (because breakout traders long entered the market without any retest of that area), eventually closing of Tuesday and as well low of Wednesday, all these level can be very reactive.
- Long: as always, I'm not here to make forecasting or prediction, but I'm only looking for setups in specific templates that play out over and over again. Bitcoin can still keep breaking higher giving a long trade back to the HOW, where the beginning of the dump started.
In the next update, I will be showing the intraday overview.
Note
Short overview Long overview
I will update during the upcoming hours!
Gianni
Note
Behaviour of price is everything, gurus predicting price movements are just 50/50.
I did not take this setup, currently long in USDCAD
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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.
Related publications
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.