This is just "dubious speculation" and one possibility among many possible scenarios.
Unless price manages to rally and close over this weekly candle high of 55918 within 1 week (this coming week) I'd expect a sideways boring price action until Christmas week at the end of the month where a possible small rally to 55900 would occur.
That number (55900 - 56000) will serve as significant resistance. Another period of sideways boring action ensues until support at 42500 (.382 fib level) breaks and leads price to the "W" pattern support level around 32000. If that holds, price action would trend higher building the last leg of the "W" pattern.
Again, this is obviously speculation based on pattern analysis and nobody really knows what will happen. I've usually relied on signals like the Parabolic Sar reversals on the weekly chart to enter and exit large percentages of my portfolio. I'm never all in or all out. I also use the 24 week moving average line (light blue line above) to determine bullish or bearish bias.
Disciplined traders react to price movement as unemotionally as possible and let math and price action determine action. They do not rely on prediction or predictive models. Best one can do is determine bias in the time frame one chooses to trade in, then use "if this happens then do this" models for taking action. For example, if the white dot on the parabolic sar indicator reverses do this...etc.
Reaction....not prediction.
If this scenario plays out and price gets back to the W pattern top near 65000 an upside breakout could see price move to the measured move target near 100,000 sometime in Q3 or Q4 of 2022.
Unless price manages to rally and close over this weekly candle high of 55918 within 1 week (this coming week) I'd expect a sideways boring price action until Christmas week at the end of the month where a possible small rally to 55900 would occur.
That number (55900 - 56000) will serve as significant resistance. Another period of sideways boring action ensues until support at 42500 (.382 fib level) breaks and leads price to the "W" pattern support level around 32000. If that holds, price action would trend higher building the last leg of the "W" pattern.
Again, this is obviously speculation based on pattern analysis and nobody really knows what will happen. I've usually relied on signals like the Parabolic Sar reversals on the weekly chart to enter and exit large percentages of my portfolio. I'm never all in or all out. I also use the 24 week moving average line (light blue line above) to determine bullish or bearish bias.
Disciplined traders react to price movement as unemotionally as possible and let math and price action determine action. They do not rely on prediction or predictive models. Best one can do is determine bias in the time frame one chooses to trade in, then use "if this happens then do this" models for taking action. For example, if the white dot on the parabolic sar indicator reverses do this...etc.
Reaction....not prediction.
If this scenario plays out and price gets back to the W pattern top near 65000 an upside breakout could see price move to the measured move target near 100,000 sometime in Q3 or Q4 of 2022.
Trade attivo:
This post has aged extremely well. Scenario still in play.