Bitcoin – New Ideas From Ichimoku Indicator
Bitcoin / Dollar BITSTAMP:BTCUSD
I know how you like Bitcoin trading ideas, market overviews, news, rumors and etc. This time I offer you to look at BTCUSD market using Ichimoku indicator.
The attempt to continue the upward movement to 6000.00 level failed and now we have the price sliding at 5000.00 support level . The market should correct the previous upward movement from 4000.00 level in order to continue the uptrend. We should expect the continuation of the correction to 4200.00 – 4000.00 support zone based on higher timeframes, but we also should remember that corrections can be done in sideways formats.
If 5000.00 support can hold the market, it will be able to become a starting point for a new up wave. How much time we will need for getting such movement, may be days or weeks – we will see. But now the price moves in the cloud and ADX line dropped below 20 level. These two signals tell us about the range market conditions.
For confirmation the upward movement the price will have to move above the cloud. If ADX line starts an upward movement, it will give the right signals supporting buyers and their strength. This movement can be used for buying with stops below the local swing low and profit targets at 5500.00 and 6000.00 resistance.
An alternative variant can be – the price will drop below 5000.00 level and the cloud. It will give us a bearish signal based on the 4H chart. The market will be able to move lower and reach the uptrend line. This trend line will be able to stop the falling market and become a starting point for a new upward movement. If the uptrend line does not hold the market, the support zone at 4000.00 level will be able to do this.
Now, we have to wait for further price movements, new signals and only after that we should join the market.
P.S. If you want to become a professional trader and succeed in the financial markets, you should read these 3 articles:
They will help you to move in the right direction and protect your capital.
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Source: TW DLavrov