Daily analysis XBT/USD 004

Apr 13, 2020

Good morning everyone, back with another analysis on the XBTUSD on the 4h Chart.

After a relatively uneventful weekend , except the fake pump / attempt at the downtrend resistance line powered by hope or maybe just boredom we find ourselves clearely in a downwards pointing pattern.

We are out of the WEDGE ! And on the lower side, slowly but surely pointing to disaster (or great profits).
So let's think of it like this : No insitutional investor would long at this price knowing that an event , let alone a "halving event" is coming, so the macro is telling us that we will have a big dump that will allow everyone to buy at the best discount prices possible for 2020.

So .....scenarios:

1. Hugging the descending downtrend line . Very possible and boring possibility
2. Continous small drops to key levels like $6400, $5800 and all the way down to the 4K area
3. Big dump all the way down

How to trade this pattern?

Risk averse, minimal and cautious: Wait for a "perfect" entry at around $4000 level , shown on the chart
Risk open and hungry: Shorting opportunities every day for scalpers with hedge/SL safezones identified almost every day, when key buy levels are met , go long and don't look back

Immediate possible action : Short the lower high(hourly chart)

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