Circles, lines, and arrows . . . oh, my.
The question I have about Technical Analisis Charts, and the people who create them:
I watch charters draw lines and talk about Eliot Waves - "1,2,3,4, 5 waves."
"or, if this is wave 1, then, this would be wave 2, making this wave 3,"
"or it might be an A, B, C,"
After a while of watching the Professional Charter move their lines, it occurs to me that they are just moving there lines to fit their expectations.
So I decided I could do the same thing. And that's what I set out to do, and have a little fun in the process.
I put my lines together, some arrows, adding nice colors; I wasn't looking to guide the reader to a conclusion, I was only making a chart to have something to show on my blog.
And then I saw it. And, as they say . . . things got real.
It's no secret to longtime traders, that we are approaching a Death Cross. A crossing of the 50 MA over the 200 MA to the downside. Taking the price down . . . down . . . down.
If you are not familiar with those terms . . . stick around, you may learn something.
(if the pale blue line crosses over the green line, moving to the downside that is called a Death Cross.)
See some of you learned something and I'm not even done yet.
What I saw was this:
The price of BTC (the yellow line) is headed for a trend line (white triangle) on about 3/25/2018 at $7,500. This trend line is also associated with the strong blue support line. We should have a upward bounce. If the bounce to the upside sends the price above the green 200 Day moving average, then a Death Cross would be averted.
So all is not lost, traders . . . Unless the price goes up to the upper trend line and runs out of Steem. (see what I did there.)
There are other reasons why a Death Cross would not affect the price adversely, and if they happen then I will do what the Pros do . . . move my lines.
H. G.
(I am just learning about charting . . . and some people really know what they are doing.
I now see that many new YouTubers do not have an education in trading. We need to educate ourselves in order to see the pretenders who pose as experts.)
I'm not a financial adviser. We need to educate ourselves and not depend on the thoughts of others.