Bitcoin: USD/BTC (BTC=X) price climbed higher towards the $4,040 level before correcting lower against the US Dollar
In the weekly analysis, we saw a nice upward move above $4,000 in bitcoin price against the US Dollar. The BTC/USD pair even broke the $4,020 level and traded towards the $4,040 level. A high was formed at $4,041 and later the price corrected lower below $4,020. Sellers pushed the price below the $4,000 and $3,980 levels. There was a break below the 50% Fib retracement level of the last leg from the $3,884 low to $4,041 high.
At the moment, it is moving lower towards the $3,940 support level, where buyers are likely to emerge. If there are more losses, the price may find a strong support near the $3,920 level and the 100 hourly SMA. The next key support is at $3,900, which was a crucial resistance earlier. On the upside, an initial resistance is at $3,980 and $4,000. A successful close above the $4,000 barrier may open the doors for more gains above the $4,040 and $4,050 levels.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 3,866.57.
The projected upper bound is: 4,268.31.
The projected lower bound is: 3,667.26.
The projected closing price is: 3,967.78.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 22 white candles and 28 black candles for a net of 6 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 61.4817. This is not an overbought or oversold reading. The last signal was a buy 16 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 54.53. 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 21 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 155.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 6 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 buy 1 period(s) ago.
Rex Takasugi – TD Profile
FOREX BTC= closed down -121.470 at 3,959.730. Volume was 18% below average (neutral) and Bollinger Bands were 48% 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: 3,928.22 3,723.77 4,838.36
Volatility: 42 51 65
Volume: 57,107 66,753 74,637
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 18.2% below its 200-period moving average and is in an upward trend. Volatility is low as compared to the average volatility over the last 10 periods. 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 34 periods.