Bitcoin 4hr analysis 11/15/2020
(The red and green arrows are the Aurox Indicator and they recommend a buy or a sell. Red indicates where you should sell and green indicates a buy zone. Pretty simple indicator but rather effective if I do say so myself.)
Good morning again ladies and gentlemen and welcome back to my daily analysis of Bitcoin. Today I have the 4hr time frame pulled up once again. Mainly due to the fact it is really working well with my trading setup. We maintained 16k for the most part through the day yesterday. Ill take that as a win. The weekly close is tonight though. And for that reason I am keeping a close eye on the charts in around 9 hours or so. Lets take a look at the charts this Sunday and see whats going on.
That 4hr 50 MA is still providing strong support (orange line) We have continuously bounced off the 4hr 50 MA numerous times over the past few weeks. Its nice to have reliable support below you. But any experienced trader should understand that just when you begin noticing repetitive things like this on the chart they stop working. The trick is recognizing it early so you can take advantage of the bounces. But right now trying to trade a bounce off the 4hr 50 MA wont be easy. Volume is likely low due to the weekend and as a result we see some obvious consolidation. Nothing too surprising for a Sunday.
On the CME chart the last candle painted around 16335. If we close the weekend at this current level we will have a gap above us which has been pretty rare as of late. Most gaps naturally show up below us during a bull market and that is understandable as the market tends to move up more than down during a bull run. I would like to see a gap above us when the weekend closes. Gaps are pretty quickly filled (for the most part) and I often trade them with a good stop loss. This is why I bring them up often. Especially on a Sunday.
We see the bollinger bands are starting to tighten around the candles. That is what happens in consolidation. Typically the flat sideways movement results in a big move and the bollinger bands are a great way to gauge this. I have been keeping my eye on the RSI (bottom graph) and every time lately it approaches the 45 RSI level it bounces up. No guarantee that this continues. But I must say I have kept a close eye on this and it has been working pretty well lately. This is not financial advice folks. Just my thoughts on the market. I have to tell you I have been wrong before and I will be wrong again. I use odds and logic to make smart trades. Do I lose? Sure I do. But I manage my losses with a well placed stop loss which limits my loss. (Obviously) and when the market goes up I simply walk the Stop up. Locks in profit. When the dip inevitably arrives my stop loss trips and I laugh all the way to the bank. USDT trading (or any stable coin with good volume) . Simple yet effective.
I think we are still fully capable of reaching a new ATH this year. Will we get there? I am not sure. I wont lie to you. I hope we get there. But I will play it safe. Keep moving my stop loss up and make smart trades. If my loss trips I step back and wait for a good entry. Even if I miss a 500 dollar pump. So what? I will hit a home run next time Im at bat. In the mean time I will be watching closely this evening for the weekly close. Im seeing 6 solid weeks of green candles. If that isnt a bull run to you I dont know what is... Last year we did have 7 green weekly candles in a row but that was also a jump from the drop to 3800 up to around 10k. The last 6 weeks of green candles have resulted in much higher highs seeing as how this pump started at 10k instead of 3800. Im sorry to ramble lol. I hope you all have a great day! Make good choices my friends! And always remember WTFDIK right?
TLDR: I didnt forget the TLDR today
Good morning again ladies and gentlemen and welcome back to my daily analysis of Bitcoin. Today I have the 4hr time frame pulled up once again. Mainly due to the fact it is really working well with my trading setup. We maintained 16k for the most part through the day yesterday. Ill take that as a win. The weekly close is tonight though. And for that reason I am keeping a close eye on the charts in around 9 hours or so. Lets take a look at the charts this Sunday and see whats going on.
That 4hr 50 MA is still providing strong support (orange line) We have continuously bounced off the 4hr 50 MA numerous times over the past few weeks. Its nice to have reliable support below you. But any experienced trader should understand that just when you begin noticing repetitive things like this on the chart they stop working. The trick is recognizing it early so you can take advantage of the bounces. But right now trying to trade a bounce off the 4hr 50 MA wont be easy. Volume is likely low due to the weekend and as a result we see some obvious consolidation. Nothing too surprising for a Sunday.
On the CME chart the last candle painted around 16335. If we close the weekend at this current level we will have a gap above us which has been pretty rare as of late. Most gaps naturally show up below us during a bull market and that is understandable as the market tends to move up more than down during a bull run. I would like to see a gap above us when the weekend closes. Gaps are pretty quickly filled (for the most part) and I often trade them with a good stop loss. This is why I bring them up often. Especially on a Sunday.
We see the bollinger bands are starting to tighten around the candles. That is what happens in consolidation. Typically the flat sideways movement results in a big move and the bollinger bands are a great way to gauge this. I have been keeping my eye on the RSI (bottom graph) and every time lately it approaches the 45 RSI level it bounces up. No guarantee that this continues. But I must say I have kept a close eye on this and it has been working pretty well lately. This is not financial advice folks. Just my thoughts on the market. I have to tell you I have been wrong before and I will be wrong again. I use odds and logic to make smart trades. Do I lose? Sure I do. But I manage my losses with a well placed stop loss which limits my loss. (Obviously) and when the market goes up I simply walk the Stop up. Locks in profit. When the dip inevitably arrives my stop loss trips and I laugh all the way to the bank. USDT trading (or any stable coin with good volume) . Simple yet effective.
I think we are still fully capable of reaching a new ATH this year. Will we get there? I am not sure. I wont lie to you. I hope we get there. But I will play it safe. Keep moving my stop loss up and make smart trades. If my loss trips I step back and wait for a good entry. Even if I miss a 500 dollar pump. So what? I will hit a home run next time Im at bat. In the mean time I will be watching closely this evening for the weekly close. Im seeing 6 solid weeks of green candles. If that isnt a bull run to you I dont know what is... Last year we did have 7 green weekly candles in a row but that was also a jump from the drop to 3800 up to around 10k. The last 6 weeks of green candles have resulted in much higher highs seeing as how this pump started at 10k instead of 3800. Im sorry to ramble lol. I hope you all have a great day! Make good choices my friends! And always remember WTFDIK right?
TLDR: I didnt forget the TLDR today
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