The current situation:
1. Market structure: price action had broken out of the double-bottom pattern but got rejected soon after by the 6HR 50 moving average. Currently, it is being supported by the 6HR 21 moving average, which is a good signal, while the 50 moving average is coming down sitting at about 10.5K, which is where the neckline of the double-bottom pattern is. IF price action breaks 10.5K again like it did yesterday, it would also break the 6HR 50 moving average along with it, which was the resistance the rejected price back down to about 10.2K.
Zooming out to the 3D and weekly chart, the price action has been supported by the 3D 50 moving average with significantly lower seller volume at 9/12 candle. The weekly candle that had just closed was also a green candle, which can be a signal for reversal. It will still be important to keep an eye on the weekly candle because if the price action falls below the 21 moving average, that's a bad sign for the bulls.\
*These are purely my speculations and not financial advice. Please do your own due diligence before trading or investing.
1. Market structure: price action had broken out of the double-bottom pattern but got rejected soon after by the 6HR 50 moving average. Currently, it is being supported by the 6HR 21 moving average, which is a good signal, while the 50 moving average is coming down sitting at about 10.5K, which is where the neckline of the double-bottom pattern is. IF price action breaks 10.5K again like it did yesterday, it would also break the 6HR 50 moving average along with it, which was the resistance the rejected price back down to about 10.2K.
Zooming out to the 3D and weekly chart, the price action has been supported by the 3D 50 moving average with significantly lower seller volume at 9/12 candle. The weekly candle that had just closed was also a green candle, which can be a signal for reversal. It will still be important to keep an eye on the weekly candle because if the price action falls below the 21 moving average, that's a bad sign for the bulls.\
*These are purely my speculations and not financial advice. Please do your own due diligence before trading or investing.
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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.
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.