BTC found resistance at the $8500 mark followed by a decent move to the downside
It managed to stay above $6000 horizontal support and a retest of 0.618 fib retracement ($6800) is very likely (descending broadening wedge reversal pattern visible on the 4h chart:
IF this happens it might also be the right shoulder of an inverse H&S as shown in the graph (red circle)
In that case we will look for a reversal candle at the 0.618 fib retracement and place a short order
IF the inverse H&S plays out, I will be looking at the support trend (marked with a blue arrow) for a reversal candle
That's a lot of 'IF', The market can give this analyse a big middle finger and take a completely different road…
No one can predict what road the market is going to take, all we can do is watch and determine for ourselves at what point we want to take part in it, where could this market be interesting to me? These are the setups i would like to see before taking any action. If it doesn't play out, i will re-analyse the market and look for new setups/opportunities
It managed to stay above $6000 horizontal support and a retest of 0.618 fib retracement ($6800) is very likely (descending broadening wedge reversal pattern visible on the 4h chart:
In that case we will look for a reversal candle at the 0.618 fib retracement and place a short order
IF the inverse H&S plays out, I will be looking at the support trend (marked with a blue arrow) for a reversal candle
That's a lot of 'IF', The market can give this analyse a big middle finger and take a completely different road…
No one can predict what road the market is going to take, all we can do is watch and determine for ourselves at what point we want to take part in it, where could this market be interesting to me? These are the setups i would like to see before taking any action. If it doesn't play out, i will re-analyse the market and look for new setups/opportunities