The price diverges with MACD histogram and RSI. We get a bearish divergence which is a strong trend reversal signal. MACD confirms downward movement. RSI confirms price reversal from 4400.00 level. ADX line of DMI indicator starts falling. It's a signal that bulls are not so strong now. Based on the above signals, we should expect for a correction movement. The market is going to move lower and we have to spot possible support zones for buying based on reversal signals. If the market drops lower than Simple Moving Average with period 20, it will be a good confirmation of further downward movement. The market will be able to reach SMA50. This support line can stop and reverse the falling market. If we get a confirmed reversal signal from SMA50, we'll be ably to open long trades. But if the market breaks this support line, the next support zones will be at 3500.00 level and then SMA100. These zones will be good for buying and joining to the main uptrend.
Commento
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A bullish candlestick pattern (hammer) at SMA20 can be a signal of price reversal with further upward movement. Will it be a short term price movement or a new impulse wave, we'll see.
@dash5, I did the opposite of what I wanted to today. I saw it pushing 4200. I had my finger on the buy trigger. I'm glad I didn't do it because right after that it dropped. But we'll see...
davedesigns
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@CoinRat, Glad to know it's not only me! Thought I was just incredibly unlucky...
CharlesPark
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Bullish divergence(lower high) happened at august 5~9, what is difference between this bullish divergence at august 13~15(lower high) ??
osama_younes
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BTC breaks 4180$ .. no one can stop it now its over
Cryptolid17
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Maybe it's a big correction back to the yellow trendline you can see here: We'll get confirmation that this line is valid when the price bounces back from this trendline again