Bitcoin: USD/BTC (BTC=X) another attempt to confirm the long-term double bottom reversal pattern
Bitcoin might be making another attempt to confirm the long-term double bottom reversal pattern as it heads back to test the neckline resistance. A break higher could confirm that a climb of the same height as the chart formation might follow.
The 100 SMA is still below the longer-term 200 SMA on the daily time frame to indicate that the path of least resistance is to the downside. In other words, the selloff is more likely to resume than to reverse. Still, price is moving above the 100 SMA as an early indicator of bullish pressure. The gap between the indicators is also slowly narrowing to reflect weakening selling pressure.
Price would need to clear the $4,300 barrier next to signal that an uptrend might be due. RSI seems to be turning back up and not inclined to keep sliding below the center line, so bullish pressure might be returning. Stochastic is heading up without reaching the oversold region also, indicating that buyers are eager to return.
Overall, the bias in prices is: Sideways.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 3,857.05.
The projected upper bound is: 4,165.52.
The projected lower bound is: 3,582.24.
The projected closing price is: 3,873.88.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 24 white candles and 26 black candles for a net of 2 black candles.
A long upper shadow occurred. This is typically a bearish signal (particularly when it occurs near a high price level, at resistance level, or when the security is overbought).
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 70.4930. This is not an overbought or oversold reading. The last signal was a buy 7 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 53.77. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 12 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 29. This is not a topping or bottoming area. The last signal was a buy 3 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 9 period(s) ago.
Rex Takasugi – TD Profile
FOREX BTC= closed down -2.020 at 3,868.980. Volume was 82% below average (consolidating) and Bollinger Bands were 41% narrower than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 3,850.26 3,658.63 4,961.53
Volatility: 52 50 65
Volume: 53,378 67,871 75,558
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX BTC= is currently 22.0% below its 200-period moving average and is in an upward trend. Volatility is Our volume indicators reflect volume flowing into and out of BTC= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on BTC= and have had this outlook for the last 25 periods.