Readers of the weekend update article will no doubt now understand why I said that I was going to pocket my gains in bitcoin at the $715 point. To recap, this is what the daily chart looks like:
So it was that I suggested that it was a good time to pocket the $80/coin we had made since we called the start of the advance at the end of the 3rd square. I was worried that price might blow right through resistance while I slept, but as I’ve said before, I don’t mind missing an occasional rally if the smart move appears to be one of caution. Caution paid off this time.
So what’s next? Of course, I don’t know for sure, though it seems likely that the rally will resume and price will get through the 4th arc pair overhead. When/if it does, I will be a buyer again. But you know, we haven’t looked at a bear setup in a while. While my sense is that this bull rally is not over yet, let’s see what the chart says:
We should have an answer soon.
Remember: The author is a trader who is subject to all manner of error in judgement. Do your own research, and be prepared to take full responsibility for your own trades.