Wednesday June 22, 2016 5:30 PM
BTC downside target from yesterday’s post $585 — low today $580
ETH from yesterday’s post- go up then reverse to a red close. Went as high as $15.94 before giving it all back and closing pennies above yesterday’s close at $13.30.
Probabilities ruled the day yesterday! What can this tell us about where we go from here?
BTC has fallen hard on high volume. Sure this could be a huge stop run before we fly to $1000 and beyond but the patterns say otherwise. I still see a target at $375-425 for this move at this point.
That said the shorter terms patterns offered a great entry right at the low today so I took a 25% position LONG in BTC.
I think BTC is heading down soon but went long–what’s up with that? Well, I follow the patterns and they show a chance at a $50-100 or more increase in price before we drop further– versus a downside risk of $25-50 per bitcoin (I’ll exit the trade if we keep trending straight down to $535 range if not sooner), so that’s a 2-1 upside ratio which makes the return worth the risk.
However, I hope to trade this even more conservatively and trail a stop on this 25% position if BTC continues to move up from where it’s trading now right at $600 as I wrap up this post.
I am also keeping this trade small because it’s not my primary focus which is intermediate term trades so it’s a well calculated risk. We’ll see how it goes.
ETH is likely to go down from here but there are still bullish signs that say there is more upside in the future–how soon I can’t tell from the patterns just yet but it might be sooner than most expect.
Make a mental note that yesterday’s high at $15.94 is also a potentially very important number.
Will update as the patterns develop.
NOTE: NOTHING IN MY POSTS IS INTENDED TO BE TRADING ADVICE. Please do not base your trades on any information presented in the materials on this blog as it is for information and entertainment purposes only. You are 100% responsible for your own trading decisions.