Now is the time for changing positions

Jan 20, 2018

December 2017 pullbacks took BTCUSD down to the fib 0,5 level (10.400 USD) of the 2017 long term growth path, which started March 27th at 890 USD and ended at the December ATH (19.900 USD). Despite some quite impressive intermediate reversals, the critical fib 0,61 level of that long term growth path at 12.600 USD was not defended in sustainable manner. Instead, another pullback took us even below fib 0.5 and quite close to fib 0.32 at 8.100 USD. That said, I consider the prevailing dynamics still bearish. And I strongly believe we will bounce back down from where we are now: fib 0.61 level, which has become a strong upper resistance. One way or another, I expect BTCUSD to test fib 0,32 at 8.100 soon. Rightmost arrows show you my actual trading plan for the next 5-10 days: Today I switched my position from long to short, setting a stop loss at 12.900. At 10.400, I will perhaps temporarily switch back to long, if 10.400 proves stable. If not, I'll stay short until we've bottomed out at fib 0.32 (8.100).