Pile of Red
Updated
Recap: ETH also reached Red 1 after some weaving in between the previous Decision 1 and 2. At the time of writing, ETH looks less optimistic than BTC, but she is a young buck – jittery and prone to bigger moves.
You might know this too well or not at all. Money Man decided to sing the old liquidity song anyways. Virtually everybody has hears the tune, but few know the words – so they simply lip sync. As stated on BTC’s analysis: Hindsight is 20/20 and only lives in the past. The liquidity below the previous support (which ended up within that Decision 2 between 3140 and 3110 abouts) was used by short-term traders as the distances on the chart is big enough to make a insignificant bounce on the chart, but a good enough percentage profit (4% to near 7% - targeting 3260 up to 3340). Some simply “climbed on the pile of red”. Money Man thinks it is prudent to look where your target/s are and liquidity might be pooling, then decide if you want to get involved within the liquidity pool, before or where you think after is (after a possible fake out). Many would talk about how they read the tape and how they check the orderbook as to where liquidity lies, but so much is hidden form our eyes that determining the winner in the liquidity pool before the fight is not possible. The chart can simply hint at where it lies. Again, we only have probabilities to go on – if you do not and wait for the battle to be over, you might have more success, but have less profit and must sit at the screens – losing most of your gains to costs (Money Man hopes to elaborate on this in a future ed post). PS Money Man is not saying that he was one of the liquidity players he is only pointing at how his previous chart captured it.
Conclusion: Is the current volume, as the question on BTC, buying for a bounce or will it be overwhelmed? Money Man set out his levels with this in mind while looking for where price action might get interesting. Remember: No guarantees, only probabilities. Very Important to me: Please like if you appreciate the effort, Please comment and develop this further and Please follow if you see this analysis thread going somewhere you would like to know about.
You might know this too well or not at all. Money Man decided to sing the old liquidity song anyways. Virtually everybody has hears the tune, but few know the words – so they simply lip sync. As stated on BTC’s analysis: Hindsight is 20/20 and only lives in the past. The liquidity below the previous support (which ended up within that Decision 2 between 3140 and 3110 abouts) was used by short-term traders as the distances on the chart is big enough to make a insignificant bounce on the chart, but a good enough percentage profit (4% to near 7% - targeting 3260 up to 3340). Some simply “climbed on the pile of red”. Money Man thinks it is prudent to look where your target/s are and liquidity might be pooling, then decide if you want to get involved within the liquidity pool, before or where you think after is (after a possible fake out). Many would talk about how they read the tape and how they check the orderbook as to where liquidity lies, but so much is hidden form our eyes that determining the winner in the liquidity pool before the fight is not possible. The chart can simply hint at where it lies. Again, we only have probabilities to go on – if you do not and wait for the battle to be over, you might have more success, but have less profit and must sit at the screens – losing most of your gains to costs (Money Man hopes to elaborate on this in a future ed post). PS Money Man is not saying that he was one of the liquidity players he is only pointing at how his previous chart captured it.
Conclusion: Is the current volume, as the question on BTC, buying for a bounce or will it be overwhelmed? Money Man set out his levels with this in mind while looking for where price action might get interesting. Remember: No guarantees, only probabilities. Very Important to me: Please like if you appreciate the effort, Please comment and develop this further and Please follow if you see this analysis thread going somewhere you would like to know about.
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Previous ETH analysis 
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Next : Short term analysis with ed post 
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Following short term analysis within this analysis 
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Next longer term analysis 
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