Bullish Update for BEST Inc SetupA few weeks ago i posted a Bullish Crab setup for BEST INC and while the price did briefly dip below the PCZ, the price never got near our stoploss and is now well above our PCZ.
BEST will be releasing earnings within the coming weeks and i expect it to have major gains leading to and after earnings.
As of today i have discovered that not only did BEST have a bullish crab on the daily, it also has created this long term weekly and monthly channel that it's at the bottom of with lots of bullish divergence on the RSI.
For more context on the original Bullish Crab idea refer to the idea located on the related ideas tab below.
Bullish Divergence
BTC Trend ReversalBTC is repeating a pattern from the middle of April. That pattern is a Bullish Divergence (which you can read about here )
Since the last time this pattern occurred, BTC remained in a small uptrend for about 16 days.
Is now the the reversal that is going to start the inevitable run to 100k for BTC? Who knows.
But it does look like BTC can at least bounce back up 17% into the high 50,000s and possibly to 60k.
Please comment, like, and follow for more!
Trade at your own risk
SRMUSDT hidden bullish divergenceSRMUSDT on the daily timeframe shows a rejection with a bullish engulfing candle pattern. The previous resistance area which is now a support area and is close to the long trend line from the month of December 2020. To further ensure the direction of the next price movement, it is seen that the price has formed a hidden bullish divergence using stochastic. Hopefully this analysis is useful for you.
Risk disclaimer on!
Using the Relative Strength Index (RSI)Using the Relative Strength Index
The Relative Strength Index (RSI) is a very popular and often used indicator that can be used effectively in many different ways. My personal favorite two are:
1. As a tool to indicate a reversal. This is the most popular way.
2. As a momentum indicator. This is what it was designed for.
Below we will discuss how to read the RSI, and how to set it properly depending on market conditions.
What the numbers mean
Before we discuss what to do with the information that the RSI gives us, we should learn what the numbers mean.
The RSI is a line graph that moves from 0 to 100. When the RSI is 70 or over, we consider our crypto to be overbought (people bidding up the price). Then when the RSI is 30 or below, we consider our crypto to be oversold (people bidding down the price).
Overbought means that the crypto might be overvalued.
Oversold is the reverse. The crypto might be undervalued.
The actual number is calculated using the average gain or loss over a set period of time. The default time period is 14 (minutes, hours, days, based on how the chart you are currently looking at is set).
You could also set your period length to a lower number, I use 10 sometimes, so that the RSI is more sensitive to recent moves. This is good to do in markets that are highly volatile (crypto for example).
The actual RSI number will increase as there are more and more positive closes within your time period, and will fall as there are more and more negative closes within your time period.
As with every trading indicator, the RSI should not be used as the sole reason for a trading decision. It helps paint a picture of the market of the particular crypto you’re looking at.
Nor are the default values always to be used. We’ve discussed time changes, but you could also change the upper and lower bands.
In a bull market you may want to change the upper band to reflect the general trend of the market (more on that later).
Trend Reversal
Now, let’s about how to actually use the RSI. The first way to use it is as a way to spot a possible trend reversal.
Put simply, the RSI can help us see if we have, in the last few candles, changed from an up-trend to a down-trend, or from a down-trend to an up-trend.
When the RSI is below 30 and crosses up, we consider this a bullish move.
When the RSI is above 70 and crosses down, we consider this a bearish move.
Just to reiterate: A bullish cross up is not an automatic buy, just as a bearish cross down is not an automatic sell. As you can see below.
But it is pretty accurate.
Nothing in TA is 100%, but the closer you get to 100% the better trader you will be.
One other thing to note based on the above picture is that there was no time that the RSI dipped below 30. In a crypto bull market (which we are currently in) it is more common to see cryptos that are overbought as opposed to oversold. You can compensate for this by changing the oversold line to 40.
Additionally, as the crypto moves up in price, you can see the RSI making consistent higher lows.
Divergence
One thing to look for when you are trying to spot trend reversals is what is called a Bullish Divergence.
This means that the price of your crypto is in a downtrend and making lower lows. At the same time, the RSI is oversold and is making higher lows.
When you spot this, it can be a very powerful indicator that the trend is reversing to the upside.
A bearish divergence is the same thing but in reverse. The price of the crypto is getting higher and higher while the RSI is overbought and making lower highs.
RSI as a momentum indicator
Another way to effectively use the RSI is by using it for its intended use as a momentum indicator.
As we talked about before, the RSI rises as we have more and more positive closes in our time window. It rises more (faster) when the price movements are more extreme to the upside. The reverse is true for the downside.
So, if we are oversold that means there is momentum to the upside, and if we are overbought that means there is momentum to the downside.
Generally, it is better to trade with the momentum than against it. Unless we spot the reversal signals that we discussed above; crossing back down, or crossing up.
It is also better to go long in bull-markets and short in bear markets when using the RSI in this way.
Let’s take a look at the chart below:
In a bull market the 50-60 range of the RSI acts as support and the RSI usually stays above 40.
I like to set my upper band to 60 in a bull market so I can trade with the bullish momentum and spot potential reversals in the 50-60 range.
As you can see it is necessary to use the RSI differently in different market conditions.
Final thoughts
As you can see there are different ways of successfully using the RSI. I hope I’ve made at least two of those ways clear in this beginner guide.
Please let me know if you have any questions and if you like it, please hit the thumbs up and be sure to follow for more!
Thanks for reading!
Tezos has a potential cup and handle brewingThis is a higher risk set up than what I normally but what is in the chart is in the chart. This would require not only for this chart pattern to perform but would also require BTC and ETH to behave over the next couple of days to week week as to not confound what is going on here.
The main chart has hidden bullish divergence on the 12 hour and the chart below has classic bullish divergence on the four hour. This suggest to me that Tezos should be moving to the neckline of the cup and handle when the falling wedge performs to the upside and from there we can see if there is enough momentum for price to break the neckline and potentially turn the previous resistance into support and have a nice impulse to the upside.
The chart below shows that the price action has found support on the 3x VSTOP and also the 20 day SMA so the chart formation has some technical support. A quick review of the 20 day SMA and VSTOP shows that when the price action breaks them as support that the decline is steep, once again meaning this to be a high risk trade and set up if traded without a good stop strategy . Thankfully the wedge gives us a chance for a couple of technical entries. I made mine a few hours ago betting on the wicking action at wedge support is a low. Break out traders could look for trades on the wedge or cup neckline or should price action retest the broadening ascending wedge support later on after a pull back.
Risk reward to retest ATH is pretty decent and with the bullish structure I am in the trade. Thanks to the VSTOP and falling wedge I should see this perform sooner as opposed to later.
s3.tradingview.com
Quickpost: DXY to channel up bullishlyThere is a lot of bullishness to Dxy that most are missing. First there is a lot of technical resistance to the downside based on the bollinger bands and there is little reason to think the bollinger bands will break due to the bullishness in the indicators with both hidden and traditional bullishness within the MACD and Histogram and the hidden bullishness within the RSI. The next move is likely to the top of the weekly bollinger band and a series of higher highs and higher lows.
If you want a more thorough write up please see my linked post on DXY and the dollar milkshake from about 6 weeks ago.
Bullish Gartley With 4HR Bullish DivergenceWe could see the price more than double very soon if this plays out.
$HBAR LOADING UP THE SACK!$HBAR changing the game - Confident of creeping into the top 5 quickly once more exchanges jump on - Do a little research you'll be amazed if ETH doesn't go kaplunk LOL
Nice price action with divergence for buying op n a move back over .30, hopefully and beyond - EYE'S ON THE PRIZE
Snowflake formed a bullish divergence with RSINYSE:SNOW is about to break out. Long the break out at 242.5$, anticipated price action and targets are shown on the chart, stop loss 220$.
Hit the like button please if you find this useful :)
This is only my own view and not a financial advice, do your own analysis before buying or selling
Happy Trading!
4HR Bullish Divergence at the PCZ of a Bullish Shark MACD Bullish Divergence, Oversold Stochastic, Oversold RSI, and the MFI is rebounding from Oversold territory after hitting a 1.13 PCZ of a 4HR Bullish Shark I will be longing and targeting the 50 percent retrace from high to low and expect to see the AUD potentially continue it's downtrend after hitting the 50% retrace to confirm a potential Bearish 5-0.
Is SKLBTC beginning a breakout?SKLBTC looks to be trending fairly positively over the past few days. On March 9th, 2021, both SKL and MATIC prices increased greatly as they were added to Coinbase. Now MATIC started a breakout a few days ago, is SKL next?
A few weeks ago, it initially looked like this pattern would form a descending triangle and turn bearish , but instead with the latest bitcoin dip, a descending wedge has formed instead (red lines) and looks like a breakout may occur soon. Additionally, it looks like a bullish Gartley pattern also formed around the same time as the dip, further indicating a potential reversal (as indicated by the blue lines).
These bullish scenarios look further confirmed by bullish reversal divergence on MACD as it begins to trend to the positive side (red dotted lines) .
However, no pattern is guaranteed, and there is still a bit of confirmation needed, particularly with regard to volume , but it definitely looks to be a trend to keep an eye on.
And as always, this is not meant as any type of financial advice and is solely my opinion. But as always, please like or comment if you agree or see anything that stands out differently.
Triple Bottom ADRO (with Bullish Divergence)There is a breakout with pattern triple bottom and bullish divergence on stochastic (5,3,3) maybe this time ADRO would be bullish at least 1400 #disclaimeron ✌️
BTC - H1/M15 - TENKAN-SEN CROSS OVER KIJUN-SEN !H1 : As mentioned yesterday, a potential bullish divergence should not be overlooked !
Indeed, a bullish divergence took place and triggered a recovery, reaching the 50% Fib ret @ 54'439.
A "weak" BUY signal has been detected but from current levels, the upside potential looks pretty limited,
possible, towards the clouds resistance area (61.8% Fib ret around the top of the clouds !)
M15 : The H1 bullish divergence @ 52'379 has been confirmed by a long white candle (bullish engulfing)
which put the BTC in a uptrend channel, facing a first resistance area (clouds), staying for a while in the clouds
and then breakout on the upside.
Currently in the lower part of the bullish channel (below the middle line)
Technical indicators looks tired and are showing some reversal signs
CONCLUSION :
As already mentioned, due to the high volatility seen on the BTC, it is absolutely crucial to monitor very carefully
very short term time frames in order to catch early signs of reversal in one way or the other !!!
We Are At Low Risk Multi-Week Levels to Be Entering LongsUSDCAD has Pulled Back to a Weekly Demand Level that has been used as Support Multiple Times in History and is now showing Bullish Divergence on the MACD. If the Bulls are still here we will not be going below 1.20 and instead I think we could bounce back up to the 1.30 area and if we're really lucky we could see 1.46 again.
Bullish Divergence - Easy MoneyThe chart is now showing some bullish divergence. Easy 7% gain on your investment.
GBPCAD Intraday Buy Idea From Strong Support ZoneH4 - Price has reached a strong support zone.
Potential bullish divergence.
Currently there are no signs opposing this bullish view.
Looking for buys as long as the strong support zone holds.
XRP/USDT - falling wedge breakout imminentXRP/USDT is close to the tip of a falling wedge and looks like it's about to break out.
Strong bullish divergence on the last drop and the current price action looks very bullish, price already moved over the downtrend and we should see another leg-up within the next few candles.
Double bottom on the 4hr 200 MA as well.
It's currently showing a very similar pattern as the one it formed before the pump from 50c upwards.
Same as always - buy close to the tip of the wedge or buy the re-test after breakout which in this case is now.
Good luck and let me know what you think!
PLM, Cheap, Potential ReversalPLM, Daily, potential reversal: Bullish shark + Class A bullish divergence & double daily engulfing candlesticks. Stochs are crossing upward in the bullish control zone, too: big. Easy R:R management as this is a potential cycle bottom for metals and mining explorers.
ET, Energy Transfer, Tickets PleaseET, monthly, energy value play: The current monthly bullish engulfing candle patter within the right ellipses appears to repeat an identical, bottom reversal candlestick pattern from 2009 (yellow+orange). Strengthened by the local Adam Eve double bottom , bullish divergence makes case for Fibs targets & the measured move validates 1.272 overhead extension. Get paid along the way. Remember this is the monthly, so the idea here is a slow and low setup with easy risk management and excellent profit exposure.
