Sive Morten
Special Consultant to the FPA
- Messages
- 18,876
Morning guys,
We're continue dealing with intraday upside retracement, as we treat it by far. And it seems that our stake on Double Bottom pattern was correct. On Friday market has broken through the neckline. Now we see two possible scenarios here.
The strong scenario suggests that BTC will hold above the neckline. It was already tested btw. In this case, minor hourly retracement will be done and price will re-establish upside action to our target. This is approx. 7080$ area - classic target of Double Bottom pattern.
Weaker scenario suggests AB=CD retracement down to ~ 6450$, which potentially could give "222" Buy here, but drop below neckline is a bad sigh for Double Bottom. And this scenario will have more chances to fail, compares to first one.
It means that neckline is crucial area for bullish scenario right now.
On 1H chart is an illistration, how approximately 1st scenario could be realized. We could get minor "222" Buy pattern where action up could be re-established. Also here you see that retracement has started right after reaching of OP target.
If we will be right on this - market could form big ButterflY "Sell" here and its 1.618 extension coinsides with our two targets - as Double Bottom as 1.618 AB-CD pattern that we have here:
Drop below 6505 lows will tell that this scenario has failed.
We're continue dealing with intraday upside retracement, as we treat it by far. And it seems that our stake on Double Bottom pattern was correct. On Friday market has broken through the neckline. Now we see two possible scenarios here.
The strong scenario suggests that BTC will hold above the neckline. It was already tested btw. In this case, minor hourly retracement will be done and price will re-establish upside action to our target. This is approx. 7080$ area - classic target of Double Bottom pattern.
Weaker scenario suggests AB=CD retracement down to ~ 6450$, which potentially could give "222" Buy here, but drop below neckline is a bad sigh for Double Bottom. And this scenario will have more chances to fail, compares to first one.
It means that neckline is crucial area for bullish scenario right now.
On 1H chart is an illistration, how approximately 1st scenario could be realized. We could get minor "222" Buy pattern where action up could be re-established. Also here you see that retracement has started right after reaching of OP target.
If we will be right on this - market could form big ButterflY "Sell" here and its 1.618 extension coinsides with our two targets - as Double Bottom as 1.618 AB-CD pattern that we have here:
Drop below 6505 lows will tell that this scenario has failed.