What’s good patreons.
Ok, some of you may or may not remember a couple of weeks ago, bitcoin and ethereum were forming patterns at the 200 day moving average and we were waiting for the mid week reversal to play out.
Granted price did move, it went in a direction, one that we didnt anticipate, but fundamentally, it held the zone and moved in the desired direction the market maker had selected to go.
Bitcoin – Bitcoin is holding around the 200 day…The 50 day also. Problem is, everything is flat across the board. There is no action for us to trade, (well there is, but we wont be going into those strategies just yet)
The M2 Pivot point is showing support, until it rises or until it breaks down. When we see the M2 showing support we see the M4 pivot point being realised which is 58230.
Price would need to break the 57142 zone. This zone would be consistent with the pattern being compelted, however, if momentum is present price would rise and then retrace, ideally we want to wait for the retrace back to the 57142 (pattern breakout point to confirm the true intention. One must be aware, the market maker can fake out patterns.
Ethereum – the story is pretty much the same here. Price is being held at the 50 and 200 day on the 1h time frame. There is not so much a visible pattern, however the W formation is being respected and price is trailing away from the zone inn a sideways fashion. Ideally we want price to break 1815 which was yesterdays high for us to confirm that market makers have intention in sending price higher.
So the moral of the story is, yet again….Patience…We are wedensday, in terms of the weekly cycle. We know this to be the mid week reversal. When will that reversal turn up? We can expect it in the London session, or the New York Reversal Session.
Ultimately ladies and gents, until there is clear confirmation of a break to the upside, with the zones above taken out, we must approach with caution.
This game is not about being in the trade all the time, its about being paid a stack on the right trade, why? because your only interested in trades that play out as opposed to ones that don’t…Granted, the losing trades will help you learn a thing or two, but the winning trades carry more weight. This is something that many fail to not recognise…STUDY THE WINNING TRADES…it is usually what increases your capital.
Will keep you posted accorindingly guys.
Trade Well My Friends