Following a massive 320% rise since March there is now evidence to support a significant correction is very likely.
The facts:
1) The above 3-day clearly indicates a bearish divergence between price action and the oscillators.
2) Price action is constrained within a rising wedge = bearish.
3) RSI support becomes resistance (orange line) following the overbought condition (green column).
Can price action go higher? For sure - might touch $145
Is it probable we go higher? No. Risk reward is unacceptable.
Targets:
1st $96
2nd $75
3rd $57
10-day chart:
We can see MFI is very overbought (circled in black) @ a value of 91 - this is ridiculous.
The facts:
1) The above 3-day clearly indicates a bearish divergence between price action and the oscillators.
2) Price action is constrained within a rising wedge = bearish.
3) RSI support becomes resistance (orange line) following the overbought condition (green column).
Can price action go higher? For sure - might touch $145
Is it probable we go higher? No. Risk reward is unacceptable.
Targets:
1st $96
2nd $75
3rd $57
10-day chart:
We can see MFI is very overbought (circled in black) @ a value of 91 - this is ridiculous.
Trade active
Note
Large correction imminent -Note
Be careful - the bearish divergence on the 3-day chart is growing in size. Although it might not look like much, the bottom image is the RSI zoomed up - it is quite strong.The divergence in detail.
Trade closed manually
Got to $100 but that's not happening again. Look left on the chart below, the 10-day candle recently printed. A powerful move to the upside is about to occur.Note
Idea open again. Bearish divergence and RSI resistance.Target around $90 at the moment.
Note
10-day chart now indicating failed support on RSI & MFI trend lines. I don't like it.Must admit privacy coins are feeling increasingly riskier to hold these days.
Note
Is a drop to $85 dollars coming?On the 10-day chart below price action finds support on the 21-week moving average (green line). However another week is needed to confirm this support. Worryingly the Stochastic RSI drops below 20 (circled in orange). Look left. Stochastic RSI below 20 is very bearish for price action.
If price action falls below $120, cut your losses.
Trade closed manually
BTC
bc1q2eckdzh0q8vsd7swcc8et6ze7s99khhxyl7zwy
Weblink: patreon.com/withoutworries
Allow 3-6 months on ideas. Not investment advice. DYOR
bc1q2eckdzh0q8vsd7swcc8et6ze7s99khhxyl7zwy
Weblink: patreon.com/withoutworries
Allow 3-6 months on ideas. Not investment advice. DYOR
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.
BTC
bc1q2eckdzh0q8vsd7swcc8et6ze7s99khhxyl7zwy
Weblink: patreon.com/withoutworries
Allow 3-6 months on ideas. Not investment advice. DYOR
bc1q2eckdzh0q8vsd7swcc8et6ze7s99khhxyl7zwy
Weblink: patreon.com/withoutworries
Allow 3-6 months on ideas. Not investment advice. DYOR
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.