$BTC Sunday update: Friday's unprecedent liquidation cascade has created some imbalances, both to the downside and to the upside. In altcoins, the wicks are more exaggerated - we'll cover that too. Let's have a look at the possibilities and how I'll trade next week. 🧵↓(1/7)
The first thing is looking at the HTF structure - is it broken or not? No, no changes. The bull market support, 1W50EMA, hasn't even been retested with that wick! If timing allows it, we could retest it if this wick gets 100% filled once the EMA rises to it in a couple weeks.
What I know is that at least the 50% of the wick will get filled. We've noticed that in previous liquidation cascades, price tends to "take a breath" before filling the wick. Asia & US session close tomorrow. It could even have a short squeeze to $116k before filling the wick.
Also at $116k we'll have a new CME gap from this weekend. Maybe we fill the 50% of the wick directly, but something like this is also possible in my opinion - and if so, I might try to take a short scalp towards it. Pretty much the same applies to $ETH.
In the case of altcoins, I don't expect the same to happen since the wicks are 50% - 80% the price value. My wick fill strategy logic doesn't fit in this case: Wicks get filled to fill orders that the wick couldn't fill. Most of the unfilled orders are less than the 50% here.
The real question is... Is this a buying opportunity? Imo, yes. Because there is not more liquidity below it, all longs have been wiped out. New current longs could get stopped out in the 50% wick fill again. So I'm buying some now and some at the 50% and 100% of the BTC wick.
Thank you so much for reading me another Sunday ❤️ Please join my free Telegram channel where I'm being much more active now that I'm travelling. 👉 https://t.me/CrypNuevoTA
@CrypNuevo but I'm optimistic that wick strategy would work in alts too because in every earthquake we should expect aftershock so I'm waiting for alts to fill 50 % at least
@CrypNuevo Solid breakdown, the imbalance zones will be key this week. Watching if $BTC fills that upper wick before any new trend forms.
@CrypNuevo Let's see how it unfolds
@CrypNuevo Look for entry opportunities
@CrypNuevo BTC’s swings left chaos, but setups are forming for next week.
@CrypNuevo Looking forward to this breakdown the recent liquidation left plenty of gaps worth tracking
@CrypNuevo Thanks for all you do
@CrypNuevo Here are the analysis results. 👇
@CrypNuevo Gracias brother 🐐 Thank you for your Sunday alpha as always
I'm sorry to say this, but this cleanup and reset of ct and traders on the market will bring a lot of fun and opportunities for future trading. Pin this
#btc 100% gonna be looking for longs next week. Ideally close the weekly around here, dip early in the week and rip it back up to LMH at least. I think there's no way we break below $105k again without taking some ltf highs into $117k ish. Will update, let's get it!
Provided the outline months ago. ALT/BTC pairs stayed strong for 1-2 weeks into September so the timing was off by 2 weeks Still I said BTC.D rally into October and ALT/BTC pairs to 0.25 This EXACT move by ALTs happened in Oct 2017 Yet they laugh and say no one saw it coming
Market reset nearly over . One of the biggest trading opportunity is coming