How fitting if we could finally breakdown in Bitcoin on the last day of this crazy year 2017.
We see this wonderful Head and Shoulders that formed throughout December.
Head and Shoulders is a bearish reversal pattern, but to be honest, they often fail and don't break down. But when they do break down, they are highly predictive.
But in the last weeks, we've seen some very BEARISH activity.
We were unable to make new highs in the last week, and we broke through the 200 period moving average.
Now we are testing the NECKLINE support at the psychological 13000 level.
If we break 13000, it's clear, our target is the 161.8% projection based on the depth of the "head" in the "head and shoulders", which lies at 9600. I prefer this more conservative target than 6000, which would be the traditional target, based on double the distance of the head to the neckline.
If we can break 9600, then we have a very strong support level at 8500, which was a former consolidation area.
LONG STORY SHORT:
If we break this current level, we should see much lower prices.
THE TRADE
Short under 13000
Targets 12000, 9600, 8200
Thank you for your suppport!
Berlin Trader
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For charts, I use TRADINGVIEW: http://tradingview.go2cloud.org/SHxi
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EXCHANGES:
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Hardware Wallets:
Trezor: https://shop.trezor.io?a=6a7673e7fcc9
Ledger Nano S: https://www.ledgerwallet.com/r/d642?path=/products/ledger-nano-s&tracker=MY_TRACKER
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MY TRADING METHOD:
I keep my analysis simple. Good analysis always is.
I use Price Patterns, Moving Averages, and RSI for my analysis.
I use the 1 day for trend analysis and 60 minute for trade entry
For my Targets I use Fibonacci projections + measured moves
Successful trading means proper risk sizing and trading small so you can stay in the game.