Good morning, today we are going to look closely at 2 important time frames.
D1 and H4
Let’s begin with D1 :
The pivot level to consider in that time frame remains @ 47’928 ! (see related ideas below).
Indeed, on one hand an upside breakout of this level would temporary neutralise the ongoing downside risk and
open the door for higher levels, calling for the 50’000 psychological as first target. Nevertheless, do not forget
the long black candle ( bearish engulfing pattern) which took place on September 7th and which still remember
that we are not out of the woods yet and in order to confirm a trend reversal, BTCUSD should recover and hold
at least, above 50’800 (half of the bearish engulfing pattern) which would trigger a piercing line pattern or even better
above 52’720 (former high D1 closing) which if it is the case would trigger a Bullish engulfing pattern, more than powerful
that the piercing line.
On the downside, a failure to stay and hold above 47’100 on a D1 closing basis would trigger a bearish engulfing pattern which
should be see as the first warning, calling for a trend reversal with a first target @ 45’932 (roughly the top of the daily clouds support !!!
Let’s continue with H4 :
Breakout attempt of the clouds resistance is in progress and should be validated which has not been achieved so far ! First significant support on this time frame is @ 47’406. This level should be watch at very carefully on this H4 time frame. Indeed, a failure to hold
above 47’406 (on a closing level) would put directly the focus on 46’274 ( MBB ) ahead of 45’932 ( KS ); interesting to note that the 3 levels mentionedcoincides roughly with the H4 clouds support zone . (D1 potential target also @ 45’932)
Watch 47’928 on a daily closing basis as the PIVOT POINT on this time frame, BULLISH above and BEARISH below !!!
Watch also shorter intraday time frames (H1 to 15M) to detect early signal (s) which will validate or invalidate expected scenarios above mentioned and therefore, allow you to act accordingly.
Finally check carefully Lagging line price action on H4, currently above the clouds (thin resistance !!)
Have a nice day, all the best and take care
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