Bitcoin - How to find the battle zone and read it correctly
So the difficult thing about trading is trying to figure out the timing of your entry and exit. Is price low enough right now? will it go lower? The best thing to do is to learn to interpret the charts. To get the right clue you must find the timeframe and moving average where the battle is happening. In this case, the battle is in the 12H (12-hour timeframe) with the 200MA (200 Moving Average) If price closes below my black lines -- which the horizontal one is strong monthly support and the 200MA is the one coming from below -- it means we are going down. If price stays above the black lines it means that it will become strong support and may be used for an up move soon. We can not ignore the fact that we continue to close below the old trendline (the green line) which adds to the downside momentum, also we are lacking volume / Buyers. Would I jump in even though we are sitting on strong support? No, why? Too many red flags indicating a down move. If it goes up I will jump in on the pullback.
So what you need to watch to know what will happen becomes very simple. If we close decisively (a long candle down) or three times below the black lines we are positively going to drop to the next battleground which will be the 50MA on the 3D at around $8,400.00.
Stay safe and don't forget to follow me if you like simple and actionable TA.
So what you need to watch to know what will happen becomes very simple. If we close decisively (a long candle down) or three times below the black lines we are positively going to drop to the next battleground which will be the 50MA on the 3D at around $8,400.00.
Stay safe and don't forget to follow me if you like simple and actionable TA.
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