MA's 20 and 50 just crossed for the first time since 3k
Updated
Market seems to be signaling that BTC is heading down after all.
I do like to use this two MA's in BTC because they do not cross very often and, when they did, one of this two things was going on:
1. We just had a big correction and prices are consolidating with RSI heading up. Then the bullish movement was confirmed with a quick crossing back of this two MA's. We had this at the 3k correction.
2. We just had a big correction but RSI is heading down and prices are still going down, with a 20%~30% further correction, as happened at the 1.8k correction and the -50% of mid 2016.
In this case, RSI just failed to test 0.5 and is definitely heading down. Fibo indicates resistance zones at 12,2k , 11k and 8k.
A safer trade would be waiting to cross the 0.5 fibo at 12.3k, but I think that is possible to open a short position at 13k since the stop for both operations would be the same (short term at 14.4k, mid term at 16.6k).
Please, share your thoughts and comments!
And be aware this is not professional advice, just an idea that may help to grow your BTC portfolio.
I do like to use this two MA's in BTC because they do not cross very often and, when they did, one of this two things was going on:
1. We just had a big correction and prices are consolidating with RSI heading up. Then the bullish movement was confirmed with a quick crossing back of this two MA's. We had this at the 3k correction.
2. We just had a big correction but RSI is heading down and prices are still going down, with a 20%~30% further correction, as happened at the 1.8k correction and the -50% of mid 2016.
In this case, RSI just failed to test 0.5 and is definitely heading down. Fibo indicates resistance zones at 12,2k , 11k and 8k.
A safer trade would be waiting to cross the 0.5 fibo at 12.3k, but I think that is possible to open a short position at 13k since the stop for both operations would be the same (short term at 14.4k, mid term at 16.6k).
Please, share your thoughts and comments!
And be aware this is not professional advice, just an idea that may help to grow your BTC portfolio.
Trade active
First 2 targets reached! Congratulations to those who can make profit when everybody is going nuts.Here follows my trading:
sold at 13.15k
bought 20% at 11.5k
bought 50% at 10.1k
Have 30% to buy at 8.6k
At 8k level, if markets starts to signal consolidation, it will be a great entry point
Trade closed: target reached
For those who were following this trade, good news! Target reached while everyone else is desperated. Congratulations! Now it is time to either add new postions for a long dollar costing average, or to remain flat until market confirms the next trend. Don't sell low's. Don't buy all time high's.
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