56 hours straight (with a few hours offline now and then) are finally paying off.
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I'm off the market for a few days now... ... thus providing an unaffected by fear forecast!
Yes, the market doesn't conform with our forecasts, nor it is obliged to fulfill our desires. But..
Price movement is the result of many different kinds of players trying to outsmart each other, hedging their risks, riding daily, weekly, monthly waves, the result of FX market influence, economics, politics, solar cycles, e.t.c... Countless money flow feedbacks, interfering with each other, senseless but REPETITIVE human psychology(this one never lets down)... ...it is simply impossible to consider all the variables - introduce them to a mathematical model of the World Economic System, get the analysis results and fly away to the Dreamland, knowing all the factors in play and the outcome of the game. Dreams, sweet dreams!
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Back to Earth.
But something we can do, and if done right - serves us as almost as good as the mathematical modeling that requires the biggest supercomputers and the most complex models ever created(maybe in 20-30 years? still going ape on the charts like n 1911, only fancier).
Markets loooove cycles. Because even the most complex economic processes mostly follow the rythms of the human being cycling around in his limited frames of life (bouncing between the low and the high energy states, always with the same dynamics again and again, and again). Our psychological processes, specifically decision-making, are very repetitive in their dynamics. Simplified, if you put another human being into the isolated system featuring the same signals, same variables, the human will always make the same decision. To hell with individuality - the market abides the contours of our biological cycles, the ancient crowd laws.
I has been proven by many great traders that the price likes to follow previously observed patterns. A wave model in the process of creation easily gets deformed by speculative fixed pumps or dumps, once everyone realizes that exactly the same pattern has already happened in the past, multiple times. This always triggers some shenanigans.
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Do it.
Here I am, reconsidering all the pros and cons of the theories that have been circling for a while in my head for the 100th time all over again. And I finally see the ligh... the pattern!, of course.
We are dealing right now(30m) with a very beautiful self-accomplished(whatever, I'm not a native ;)), finished, perfect, MATURE impulse formation that has just (1:00 UTC Jan 8) declared itself DEAD.
How can I be so sure? The patterns. The multiple included impulses - the oldest pattern there is. And the bitcoin looooves this pattern and it's commonly known dimensions. Provided that the impulse has ended, we are about to meet its closest friend - some correctional waves model, retracing 15-50-80% of the 16 figures surged. This is exactly 0.15*16= 2.4 and .5*16 = 8 figures. 0.8*16 = 12.8 figures(extreme scenario for this market, I do not even consider this value possible anymore in the terms of current bullish trend).
This makes the bears able to drop the price straight down to the 7500-8050 range. Don't even begin to doubt it.
Provided the price action evolves free of economic cataclysms - we'll be able to move only higher up just as the correction ends.
The following bullish trend continuation may set new local highs, But I don't expect anything greater than 11.5k(possible 14+k, but is a very improbable scenario, it seems). Pretty safe to expect 9k. Smart to keep some longs for a 10500k target. Like to gamble? Target 11.5-14k. NOT ALL-IN! Never wit these chances for 11.5+k.
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Big boys.
Long, long and long again for the inbound few weeks. Only longing is smart right now. If shorting(acceptable for pros only) - try to scalp max 1-2 figures in the depths of the correction expected.
The rest, I'm sure, you will figure out yourself.
The core of it: 1. Down to 7500-8050 range in 12h-3days. 2. Up again 8.8k+. If we're lucky - 9k, 11.5k, 14k(13.5, no?).
The main chart features two possible scenarios - I and II. Feel free to choose. Both are equally well reasoned.
Don't forget to take a look at the bigger timeframe analysis, these are all parts of the 2weeks-long analysis and research.
Bigger timeframe: The roots:
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交易進行
A better look at the suggested levels:
註釋
Waiting for the nice dip for a buy-in. Max recommended price for a buy-in in the lifetime of the current correction - 7500-8000. Looking for that dip...
交易進行
Heads up! A good timing for a buy-in. The next possible dip is at 7750, if we go the scenario #II.
交易進行
and.... the confirmations, lads and gents! have just went "the most probable I". Will we drop to 7700? The second most probable? - sure. But we will redo 8150 first(small bullish counterattack) .