For education purposes only.
Price
Following from yesterday's review (here) the BTC price fell to a low of $6,420 (Bitfinex) and caught a bid, reinforcing the ascending trendline (green, thick).
The price has just broken the most recent (steepest) descending resistative trendline (red, dashed) on the back of a rejection (full-bodied, greed) candle , but has yet to make a higher high.
If BTC can trade and hold above $7,300 it could indicate a recovery (noting timing reversals usually ends in defeat), however, this morning BTC is showing some renewed strength.
Volume
The average trading volume has been steadily increasing over the past week and is now beginning to die off, as the price moves away from the $6,000's. To me this indicates strong interest in the support zone, either by bargain hunters or through protective long stops getting filled, and reinforces this price support level.
The On-Balance-Volume (OBV) indicator has put in a recent lower low, however, it is shallower than the last (mirroring the price action), which indicators sellers are calming down. The indicator has yet to make a bullish divergence, however.
Bias
From yesterday's Bear-Neutral I am now just Neutral as the strong rejection candle from the support zone suggests buyers may be going shopping, however, I won't be a bull again until the price completes a clear reversal pattern.
If this does occur the window of opportunity for a high reward-risk long trade may be narrow, so I'll be keeping a close eye on the charts over this coming week.
Until tomorrow,
Bobby.
amazing ummmmmmmmah post love too
Congratulations @davidwilsonuk1! You have completed some achievement on Steemit and have been rewarded with new badge(s) :
Click on any badge to view your own Board of Honor on SteemitBoard.
To support your work, I also upvoted your post!
For more information about SteemitBoard, click here
If you no longer want to receive notifications, reply to this comment with the word
STOPDo not miss the last announcement from @steemitboard!