BTC DAILY UPDATE (day 156)

Previous analysis/position: Watching to see if we would breakdown $7,500 support or get a bounce back to $7,800 - $8,000. Advised caution selling red 2 below red 1 due to being at an area of support.
Patterns: Lower lows, potential bear flag on 4h. Currently short ETH:USD from $454.
Horizontal support and resistance: weak S: $7,475 weak R: $7,620 | strong S: $7,250 strong R: $7,800 - $8,000.
BTCUSDSHORTS: Resisted 21,350 | 64% long | 36% short
Funding Rates: Longs pay shorts 0.01%
12 & 26 EMA’s (calculate % difference): 12 = -3.09% | 26 = being tested for support
50 & 128 MA’s: 50 = +9.24% | 128 = -0.66% | 50 MA acting as resistance on 1h | Recent death cross on the 3d.
FIB’s: 0.236 = $5,920 | 0.382 = $8,496 | 0.5 = $10,677
Candlestick analysis: 3d tweezer top
Ichimoku Cloud: C clamp on 1h & 2h indicate correction to the upside.
TD’ Sequential: R-3 > R-2 | G-2 < G-1 on 4 hour after a 5 candle correction
Visible Range: Point of control over last 24 hours = $7,524. High volume nodes from $7,530 to $7,560 | 5 day POC = $7,868 with a gap from $7,750 to $8,125 | 1 month POC = $7,433 | 1 year POC = $8,069
BTC’ Price Spreadsheet: 12h = -1.71% | 24h = -1.02% | 1w = -5.27% | 2w = +2.42% | 1m = +18.37%
Bollinger Bands: Currently below daily MA | 3d MA = $6,860
Trendline: N/A
Daily Trend: Bearish
Fractals: Down = $7,215 | UP = $8,284
On Balance Volume: Falling faster than the price
ADX: -DI just turned away from +DI on the daily, was expecting these to cross. 12h ADX pulled back sharply from 64 (highest it’s been this bear market). Will be interested to see if it supports > 25. 4h shows ADX above 50, -DI above +DI and diverging.
Chaikin Money Flow: Finally looks like it is moving downward with the price.
RSI: (Using 30 setting) Daily and weekly still > 50
Stoch: Weekly still looking healthy after sell signals on 1d and 3d.

Summary: Expecting to see a long squeeze due to the ratio being 64%:36%. That could cause a sell off to $7,250 or $6,800 depending on how strong support is. If you are not in a position be very careful opening a short at $7,500 because that is still holding up as support. The c-clamp in the 1h and 2h Ichimoku Cloud tells me that there is still a significant chance (30%+) that we get another rally to $7,800 - $8,000.

Potential Entries: If we do get a bounce to $7,800 - $8,000 then I would sell the shit out of it, if I wasn’t already fully positioned. If we fall hard and fast to $6,800 then it would be a good place to cover and/or open a long, due to it being a strong area of support. A bounce from there to $7,500 would be expected and that would provide another great selling opportunity. If oversold at support then highly likely to bounce. If we fall slowly to $6,800 and then it would not be as good of a spot to buy/cover.

If you can remain patient, calm and calculated over these next few days/weeks then there should be some tremendous opportunities. Let everyone else get emotional as the market enters another period of volatility, we do not have the time or energy for that!

Preparation + Patience = Profit