ETC/BTC
- Green dashed line is the weekly support.
- 2. Red dashed line is the nearest weekly resistance.
- 3. Solid blue line is the generally rounded bottom I would like to see before making bigger strides up.
- 4. Solid yellow line is the daily 200EMA.
- 5. Solid red diagonal line was the previous trend that was broken.
What I am seeing here is the when the long-term trend (5) was broken, it quickly went up to weekly resistance (2), was rejected, and came back down to follow above the previous trend (5). It stayed above that downward trend until it eventually found weekly support (1). It has stayed above the weekly support (1) until now.
As you can see from the second image it started to break out from the BB and continue upwards with a potential new trend. What I suspect it to do now is follow the slightly rounded bottom (3) and continue up from here. Whether it is a solid increase in volume and a big pump up to the weekly resistance (2), or a rounded bottom incrementally moving up, I am not sure. The 200EMA (4) should also act as a bit of resistance as well as the weekly resistance (5). RSI looks stable and within a healthy trading range, not overbought or oversold.
The good news is….. that is still 40%+ from here. As always, I am open to other opinions and critiques.
Do your own research and happy trading.
