Tag: Week

Table of Contents

Overview of BTC (long-term and short-term TA)

Overview of ETH

TA of the Nasdaq Composite Index (US100)

 

 

Overview of BTC

“Sell in May” is finally over.

 

The US100 showed a strong rebound at the point of consciousness, but BTC is a little weak and the ranging market continues. The cause may be the decline in ETH did not stop. It will be necessary to look at this as well.

 

I want price action to show a positive line forecast next month, but this needs to be carefully determined.

 

I want to trade with calm and faith by the charts while watching the movement of the US100 next month.

 

While watching all the movements of BTC, ETH and the US100, it is necessary to respond flexibly to the market environment in a timely manner. It can be said the difficulty of the current market price is BTC alone cannot be used to many any judgments.

 

↓ BTCUSD monthly candlestick chart

Since it is the timing of a monthly close and update, first of all, a recognition from the market.

This month’s lunar candle is likely to be confirmed by the big shadow line. Think about the monthly candle for June next month. As with last week, my policy is to take a long position with the lower wick of the hidden line during May only if the initial movement of the lunar leg is down. This is the basic idea of ​​candlesticks.

 

Of course, it may be a positive line without a lower wick, but I think the possibility is extremely low, especially at the monthly level. It is clear from the past lunar candles on the left side of the above figure.

 

↓ ETHUSD weekly candlestick chart

Despite BTC’s ranging market this week, ETH showed unusual developments as it broke lower supports. As ETH fell, BTC also tended to be slammed, albeit within range. Since support held at the white box once, there is a possibility it will make a positive line next week or next month. At least it seems that there is a plunge short from this position, so even if it is a hidden line, I think it will swing up once in the short term.

 

↓ ETHUSD monthly candlestick chart

Rather, we have to think about the case of breaking the current price range.

In that case, be careful because there is no support until down to around $1,400.

 

Short Term

In the short term, the link with the US index has become less correlated.

 

Although the US100 showed a price increase, BTC did not show any, probably due to the decline in ETH.

 

However, when the US stock index shows a sharp decline, I think BTC will be entangled, so it is better to refrain from holding a long position keeping an easy mindset and a sense of affordability.

 

TA of the US100

 

↓ US100 weekly chart

I think the US100 is still in a downtrend, so I’ve briefly illustrated a support box where it likely to show support if the downtrend continues. Since BTC is often correlated, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these support areas.

 

It is unknown at which side it will stop, so I would like to pay close attention to the short-term candle movements in this white box.

 

Last week I stated,

“It is certain we are approaching the price range where it should show a rebound in price.

 

Specifically, it is the daily 200EMA/200MA and the horizontal box that overlaps it. In particular, it can be seen from the above figure the 200EMA and 200MA are points that can be bought and conscious even in the past crash of the corona shock.”

 

Showing a reversal.

 

If price falls again, it will turn around in the short term at around $11,000.

 

Table of Contents

Overview of BTC (mid-term, long-term, short-term TA, data analysis)

TA of the Nasdaq Composite Index (US100)

 

Overview of BTC

This month is literally a “Sell in May” month, and while the US stock index is still declining, BTC has been ranging since last week’s decline without hitting lows. Currently, I feel it is okay to look a little longer to next week.

I want to trade with calm and faith based on charts while watching the movement of the US100.

Please also note this article emphasizes the order of thinking, unlike usual, and describes it in the order of weekly → monthly.

↓ BTC / USD weekly candlestick chart

This week was a move within the range without breaking last week’s lows. It seems it will be confirmed by the hidden line this week, but from experience, it seems it is okay to go around with the assumption of the positive line next week. I think it will be a positive line with a little wick. It is a judgment in view of the situation BTC is enduring this low without breaking the latest low as the US stock index declines.

↓ BTCUSD monthly candlestick chart

Also, this month’s lunar bar is likely to be confirmed by the big shadow line. This month’s monthly bar will close in about a week, so let’s think about the monthly bar for June next month. My policy is to take a long position with the lower wick of the hidden line in May only when the initial movement of the lunar leg is lower. This is the basic idea of ​​candlesticks.

 

Of course, it may be a positive line without a lower wick, but I think the possibility is extremely low, especially at the monthly level. It will be clear if you look at the past lunar bars on the left side of the above figure.

 

Short term

In the short term, the correlation with the US index is strengthening. Again, there are several violent movements correlating with the US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high. However, the impression is it will stop at support.

If the US stock index continues to fall sharply, BTC will be entangled, so it is better to refrain from holding a long position, but holding an easy position and a sense of affordability.

 

TA of the US100

 

↓ US100 daily chart

As usual, I think the US100 is in a downtrend, so I have briefly illustrated a box where it is likely to have support if the downtrend continues. Since BTC is often correlated, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these support levels.

 

It is unknown where support will hold, so I would like to pay close attention to the short-term candle movements in this white support area.

 

However, it is certain the price range is approaching, which is likely to show a rebound.

Specifically, it is the daily 200EMA / 200MA and the horizontal box overlapping it. In particular, it can be seen from the above figure where the 200EMA and 200MA are points where conscious buys can be made, as evidenced in the past crash during the ‘corona shock.’

 

This is also one of the grounds where BTC’s monthly bar next month may show a positive candle.

Table of Contents

Overview of BTC and ETH (mid-term, long-term, and short-term TA & Data Analysis)

TA of the Nasdaq Composite Index (US100)

 

Overview of BTC

In continuation to last week, this month literally seems to be “Sell in May”.

The US stock index turned down again, and BTC also fell.

It is still unknown where it will stop, but I would like to trade with calm and faith based on the charts while observing the movement of the US100.

 

I will write in connection with review of the trade I actually made last week.

 

↓ BTCUSD daily candlestick chart

The monthly legs do not need to be shown, and the hidden lines continue.

 

BTC showed a decline linked to the US stock index, pierced the old white box, but returned on a wick. Even if price continues to fall, it seems the range will be set around here for a while and the horizontal axis will be adjusted, rather than the image of just falling as it is. If you want to show a breakout, you might want to look up to around $33,000 in the box above.

 

I was able to build a short-term long position on the lower wick, which is the first reason.

 

From two weeks ago,

“If it continues to fall, I would like to consider building a long position in the white box price range. Specifically, around $30,000. Whether or not a long position can be built depends on the behavior of short-term legs in that price range. If it falls slowly without making a big shadow line at the 1–5-minute level and without clearing the long position, the construction of the long position should be forgotten. If you put it on and it shows movement that seems to have settled on the long position, you may consider building a long position.”

 

I repeatedly stated the above, and it ended up being exactly the situation.

 

↓ BTCUSD daily candlestick chart in price range

In addition, it was a likely situation to show a rebound in the short term based on the price range as seen from the range of declines in the past (Reason for having a long position shown in #2).

 

I would like to take a position in such an easy-to-understand area while continuing to be aware of the down market.

 

↓ ETHUSDT Daily Candlestick Chart

As mentioned above, BTC set a new low with a wick, but ETH stopped at the box level as if it were conscious of it. (Reason for having a long position #3.)

 

Short Term

In the short term, the correlation with the US index is strengthening. Again, there are several violent movements correlating with the US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high.

 

If the US stock index continues to fall sharply, BTC will be entangled, so it is better to refrain from holding a long position with an easy position and a sense of affordability. Again, this month is still the “Sell in May” month, so be careful.

 

TA of US100

 

Last week price movement reached the support area I had shown in advance, and even though it broke through it, it came back on a wick.

 

The US100 continues to be on a downtrend trend, so a simple illustration of a support area that is likely to be supported at if the downtrend continues. Since BTC is often linked to the US100, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these areas.

 

It is unknown at which side it will stop at, so I would like to pay close attention to the short-term candle movements in this white box.

Table of Contents

Overview of BTC (mid-term, long-term, & short-term TA and Data Analysis)

TA of the Nasdaq Composite Index (US100)

 

Overview of BTC

After all, this month seems to be literally end up being “Sell in May”.

The US stock index turned down again and BTC also fell.

It is unknown where it will stop, but I would like to trade with calm and faith based on the charts while watching the movement of the US100.

 

↓ BTCUSD weekly candlestick chart

↓ BTCUSD daily candlestick chart

As mentioned at the beginning, this month is May, which is synonymous with “Sell in May”.

 

Last week I said, “We are aiming for the top of the first move, but we also want to consider the possibility the monthly leg will switch to the hidden line and the current price range will become the upper wick of the hidden line.” Both the monthly and weekly bars are likely to be confirmed by hidden lines.

 

If the lunar bar remains hidden, it is better to refrain from holding a long position until near the end of the month. It is unknown where the US stock index will stop declining.

 

Again, if it continues to fall, I would like to consider building a long position in the price range of the white box. Specifically around $30,000. Whether or not a long position can be built depends on the behavior of short-term legs in that price range. If it slowly falls without a big shadow line at the 1–5-minute level and without clearing the long position, the construction of the long position should be forgotten. On the other hand, if you put on a big shadow line and a beard and show a movement that seems to have settled a long position, you may consider building a long position.

 

It should be kept in mind long-position enemies are long-positions, and the fact the proportion of long-position enemies is still high from the week before last may be one of the factors making it difficult for the price to rise.

 

As with last week, we are still assuming a ranging market, but keep in mind if the US stock index falls sharply, $BTC will often fall with no time lag.

 

Also, altcoins have fallen sharply and I don’t think it’s time to buy altcoins.

 

Short term

In the short term, the correlation with the US index is strengthening. Again, there are many violent movements correlating with the US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high.

 

If the US stock index continues to fall sharply, BTC will be entangled, so it is better to refrain from holding a long position. Again, this month is the “Sell in May” month, so be careful.

 

TA of the US100

Since the US100 continues to show a decline, a simple illustration of a box is used as it is likely to stop if the decline continues. Since BTC is often correlated, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these box levels.

 

It is unknown at which side it will stop, so I would like to pay close attention to the short-term candle movements in this white box.

 

By the way, last week’s transient rise was a stop-loss move for the new quick-trigger short position, which I saw after it broke the box near $13,000. Despite the down market, the quick-trigger (rear ride) position may be hunted in the short term, so be careful. If it’s not selling from the top, it’s probably safer to take a long position to get a rebound in the white box.

Table of Contents

Overview of BTC (mid-term, long-term, & short-term TA, and data analysis)

TA of the Nasdaq Composite Index (US100)

Overview of BTC

BTC, which has returned its former price range ($32,000~$45,000) the other day, showed a move to test the lower limit of the range and holding there. I continued to trade very little as the lunar bar turned negative and the upside continued to show heavy resistance with declining volatility. I want to be aware not taking a position is also a trade. Also, the Nasdaq Composite Index is on a downward trend again, so I would like to pay close attention to it together with the “SELL IN MAY” concept.

 

↓ BTCUSD Monthly Candlestick Chart

Since the monthly charts have been updated, we will start monthly awareness monitoring. April was confirmed by a hidden line.

As mentioned at above, this month is the familiar “SELL IN MAY” (so-called anomaly, don’t underestimate it).

 

The initial move is aimed at the top, but I would like to consider the possibility the monthly bars will change to the hidden line in the future and the current price range will become the upper wick of the hidden bar.

If you want to try below, consider building a long position in the white box price range. Specifically, between $35,000 and $30,000. Whether or not a long position can be built depends on the behavior of short-term legs in that price range. If it slowly falls without a big shadow line at the 1–5-minute level and without clearing the long position, the construction of the long position should be forgotten. On the other hand, if you put in a big shadow line and a wick and it shows movement that seems to have settled a long position, you may consider building a long position.

It should be kept in mind long-position enemies are long-positions, and the fact the proportion of long-position enemies is still high from the week before last may be one of the factors making it difficult for the price to rise.

It is still assumed the market price will range, but keep in mind if the US stock index falls sharply, BTC will often fall due with a short time lag.

 

Short term

In the short term, the correlation with the US index has lessened, but the correlation itself remains. Again, there many violent movements correlating with the US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high. However, the impression is it should stop at the horizon or zone.

If the US stock index continues to fall sharply, BTC will be entangled, so it is better to refrain from holding a long position. Again, this month is the “SELL IN MAY” month, so be careful.

Short-term volatility is declining day by day, and it takes time to recover if you incur a loss, so refraining from short-term trading is an option (I do).

I would like to emphasize it is not a scenario to take a positive position as a whole.

TA of the US100

Since the US100 is showing a decline again, I have briefly illustrated a box that is likely to show support if the decline continues. Since BTC is often correlated, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these support levels.

It is unknown at which side it will hold at, so I would like to pay close attention to the short-term candle movements in this white box (support).

Table of Contents

Overview of BTC (mid-term, long-term, short-term technical analysis, data analysis)

 

Overview of BTC

This week’s Bitcoin price has returned to its former range ($32,000- $ 45,000) by not being able to actually rise beyond the strong resistance of the 200MA on a daily basis and turning all monthly and weekly bars into hidden lines.

 

↓ BTCUSD weekly candlestick chart

As mentioned at the beginning, this week is likely to be confirmed by a big shadow line.

 

In last week’s article,

 

Future scenarios that can be considered by looking at the weekly and monthly bars:

1. Price will continue to rise to around $52,000 (next resistance)
2. This week the market will range between $45,500 to $48,000.
3. Settle below $45,500 and returned to previous range

3 patterns above can be considered.

 

Especially when the candle bar turns negative, scenario 3 is fully conceivable, so it is necessary to observe each hourly bar in a close manner. It is very important to be able to determine the candlestick movement above the upper range of $45,500.

 

But unfortunately,  scenario 3 played out. That is, the current Bitcoin is returning to the previous range.

 

Even more difficult to long is the percentage of accounts in Binance’s global long positions is over 70%. The enemies for long positions are long positions, so unless this ratio decreases (to the 50% level), I don’t want to take a long position too aggressively. It is not possible to take a long position unless the long position is reduced due to the liquidations of loss cuts due to the fluctuation of the market price.

 

↓ BTC Status Alert – Tweet

https://twitter.com/btc_status/status/1513110662645678080?s=20&t=UbQh9z9EXnDDuvT8UVfCSw

 

↓ BTCUSD daily candlestick chart

If you look at the daily level, you can see how it turned back neatly at the 200MA.

 

In last week’s article:

1. Above the range limit of $ 45,500
2. Without deterioration of supply and demand (dissociation / FR)
3. If the lower candlestick, such as a four-hour candlestick, forms a round-up shape,

 

It seems better to refrain from taking a short position from the daily 200MA back. (If you do not meet these conditions, especially with 2, you may take a short position with the latest high of $48,000 as your backing.)

 

However, it did not meet all of 1, 2, and 3, so the point of how to make a position this week was to take the strategy in () (I also went around in the short position main).

 

I don’t think it’s necessary to take a position until the yellow line is rounded up or the lower limit of the range is reached. Also, since all the upper legs have changed to hidden lines, I will take the short position as the main strategy.

 

Short Term

In the short term, the correlation with the US index has become less, but the correlation itself remains. Again, there are many violent movements that correlate with the US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high. However, the impression that it stops at the resistance or zone where it should stop.

 

If the US stock index continues to fall sharply, BTC will be entangled, so it is better to refrain from holding a long position (and vice versa).

 

↓ BTCUSD 8-hour candlestick chart

If you look at the lower candlesticks per 8 hours, you can see the parallel channels as shown in the above figure.

Even when considering the channel, it is located in the center, so it seems better to wait until near the lower limit of the channel if it is a long position, not a scene where you take a position positively.

 

↓ BTCUSD 4-hour candlestick chart

Furthermore, the fact that it was confirmed to be below 200MA at the 4-hour level was also a tough development for the longers.

 

Table of Contents

Overview of BTC (mid-term, long-term, short-term technical analysis)

 

Overview of BTC

Until last week, the stock indexes of Gold, Crude Oil and the US moved violently in a short period of time due to the ever-changing situation in Russia and Ukraine. But this week they showed relatively calm movement (the situation remains tense).

Bitcoin’s correlation to the US stock index is a bit weaker this week than it used to be (beware of changes in the environment).

Even though for the short-term showing volatile price movement, I always want to keep stay level-headed as it is only movement within a range ($30,000 ~ $ 45,000) described earlier when looking at the weekly and daily levels.

Mid-term and Long-term

↓ BTCUSD weekly candlestick chart

Last week’s weekly chart was confirmed with a positive line that would recover the consecutive upper wicks mentioned earlier. This week, following the confirmation of the positive line last week, it is likely the positive line will continue to be confirmed. The current price range has a $45,000 upper limit on the daily/weekly range, so it is important to break out of this range. If it does not break through, the ranging market will continue.

 

↓ BTCUSD Monthly Candlestick Chart

Another point of interest is the lunar bar has changed from the hidden line to the positive line, and the lunar bar in March may be confirmed soon, so I would like to take a close look at the attack and resistance of the price range around here. If I try to go down once before the monthly bar is confirmed, I am thinking of taking a long position with the monthly opening price of around $43,000.

 

Last week, “The horizontal axis adjustment is over, and the possibility a short-term trend is likely to appear (a big move) may be seen soon from next week.” However, while considering the possibility, if a trend appears, it should not be easy to have a contrarian short position.

 

↓ BTCUSD daily candlestick chart

Looking at the daily chart, we can see that it is currently at the upper limit of the range.

 

Short term

In the short term, the correlation with the US index has become less, but the correlation itself is still there. Again, there are many volatile movements correlating with US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high. However, my impression is that it will meet resistance at that zone where it should stop climbing.

 

We didn’t take a lot of positions last week (see previous article), but this week we have $45,000 attack and resistance, weekly and monthly updates, so let’s take a positive look at the short term as we see the potential for higher volatility.

 

As for this week, the short term was a painful price move for shorts. (Price movements in a clearly different trend from last week.) There is no feeling of overheating where the divergence of FR and cash / futures will rise, and it will gradually rise, which is a common movement when Bitcoin is strong. If you take it, you tend to lose money, so be careful. (I’m only holding long positions now.)

 

Table of Contents

Overview of BTC (mid-term, long-term, short-term TA)

 

Overview of BTC

Continuing from last week, the stock indexes of Gold, Crude Oil and the United States have moved violently in a short period of time due to the ever-changing unrest in Russia and Ukraine. Bitcoin was also moving along with them (inversely correlated with gold, correlated with stock indexes).

 

Although price action is expected to continue to be volatile in the short term, I would like to keep in mind the movement is still within range ($30,000 to $ 40,000) described earlier at the weekly and daily levels.

 

Mid / Long term

↓ BTCUSD weekly candlestick chart

This week’s weekly candles are likely to be confirmed by the positive lines that collect the consecutive upper wicks mentioned last week.

 

As mentioned at the beginning, the market ranging continues.

 

On the other hand, compared to the horizontal axis of box A mentioned earlier, it may be good to see the possibility the horizontal axis adjustment is finished and a short-term trend is likely to appear (a big move) from around next week. Specifically, the horizontal axis adjustment part of A in the above figure is 63 days for 9 bars per week, and the current range duration is 56 days for 8 bars per week.

 

If this week’s candlestick is confirmed on the positive line as it is, it may rise at this point, but on the other hand, it is not easy to turn the monthly candlestick positive and the upper price still shows heavy resistance. If it rises, look out for price movements around the monthly opening price of $43,000.

 

↓ BTCUSD daily candlestick chart

Looking at the daily level, it is easier to understand, and it can be seen that the movement is within a range.

 

Although it is called a range, the width of the range has narrowed further, and price movements have been coiling down. ($38,000 ~ $42,000). In addition to the above-mentioned adjustment on the horizontal axis, this stalemate in price movement is also one of the factors we would like to consider the possibility of an increase in volatility (big price move).

 

However, since only God knows “how” and “when” it will exit this range, I would like to continue the basic approach of buying when the lower limit of the range is reached and selling when the upper limit of the range is reached.

 

Short term

Even in the short term, it is often linked to the US index. Again, there are a lot of volatile movements correlating with US100 (Nasdaq Composite Index), so be careful when trading. Especially at 22:30 when the US market opens, volatility tends to be high. However, the impression is that it will get rejected at the resistance level (note the summer time (US Daylight savings) has been applied to the opening hours of the market starting this week).

 

Short-term price movements are becoming narrower in price range (decrease in volatility), and it is difficult to recover when a loss is made, so the difficulty level seems to be gradually increasing. It is a difficult market, so it is a good idea to wait until it you grasp a sense of direction making it easier to make a move.

 

 

Table of Contents

Overview of BTC (mid-term, long-term, short-term technical analysis)

 

Overview of BTC

This week as well, the stock indexes of gold, crude oil, and the United States fluctuated violently in a short period of time due to the ever-changing situation in Russia and Ukraine. Bitcoin was also moving along with them (inversely correlated with gold, correlated with stock indexes).

 

Although price action will continue to be a violent in the short term, I would like to stay calm knowing the movement is within a range ($30,000 ~ $40,000) described earlier at the weekly and daily levels.

 

Mid-term and long-term

↓ BTCUSD Monthly Candlestick Chart

Since we updated the monthly chart last week, let’s first recognize the environment at the monthly chart level.

 

Last month it was confirmed with a positive bar, but looking at the above figure, it seems likely that this month is a negative bar.

 

↓ BTCUSD weekly candlestick chart

Last week, it was supported by the resistance zone of the horizon (white box near $33,000 in the figure), and was finally confirmed by the small upper wick positive line. I would like to pay a little attention to this continuous upper wick.

 

This week showed a temporary rise following the confirmation of candlesticks supported by last week’s resistance band (which can be linked to the gap filling of the US stock index, which showed similar movement as last Monday and pointed out in last week’s article). Even though price action was such, it was again rejected by the resistance band around $43,000. As mentioned above, ranging price action continues. Even if you are long from the bottom, it is better to humbly take profits.

↓ BTCUSD daily candlestick chart

Looking at the daily chart, it is easier to understand, and it can be seen the movement is within a range.

 

Although it is said to be in a range, the width of the range is narrowing, and we would like to consider the possibility that it is becoming a so-called narrowing wedge shape (devaluation of high prices and devaluation of low prices). Since only God knows “which” and “when” to exit, I would like to continue the basic approach of buying when the lower limit of the range (consolidation) is reached and selling when the upper limit of the range (consolidation) is reached.

 

Short term

The short term is often linked to the US index. Again, there are many violent movements correlating with US100 (Nasdaq Composite Index), so be careful when trading. Especially at 23:30 when the US market opens, volatility tends to be high. However, the impression is it will get rejected at the resistance zone.

 

Short-term price movements are becoming narrower in price range (decrease in volatility), and it is difficult to recover when a loss is made, so the difficulty level seems to be gradually increasing. It is a difficult market, so I think it would be a good idea to wait until it becomes easy to handle (until the situation in Russia and Ukraine calms down).

 

Table of Contents

Overview of BTC (Mid-term, long-term, short-term technical analysis + practical example of this week’s trading ~ gap filling ~)

 

Overview of BTC

This week as well, the US stock index fluctuated violently in a short period of time due to the ever-changing situation in Russia and Ukraine. Bitcoin behaved in a similar manner, with a weekly candlestick with a wick likely to be confirmed by a resistance band around $43,000 (probably the positive line).

 

Although it will continue to display volatility in the short term, I would like stay calm as it is only movement within the range ($30,000 to $40,000) described earlier at the weekly and daily levels.

 

Mid-term and long-term

↓ BTCUSD weekly candlestick chart

Last week showed support from the resistance zone (white box near $33,000 in the figure), confirmed by a small wick of a shadow line.

 

This week, following the confirmation of candlesticks supported by last week’s resistance band, it showed a temporary rise (which can be linked to the gap filling of the US stock index), but it peaked at the resistance band around $43,000. As mentioned earlier, a ranging price action continues.

 

↓ BTCUSD Daily Candlestick Chart

Looking at the daily chart, it is easier to understand the movement is within the range.

 

I would like to continue the basic approach of buying low of the range and selling the top of the range.

 

Short-term

The short term remains strongly correlated to the US index. Again, there are a lot of violent movements correlating with US100 (Nasdaq Composite Index), so be careful when trading. Especially at 23:30 when the US market opens, volatility tends to be high.

The temporary rise at the beginning of the week was linked to the movement to fill the gap of the US stock index, discussed below.

Practical example of this week’s trading ~ Gap filling ~

First, the Nasdaq Composite Index (US100) started on Monday after the beginning of the week with a large open gap as shown in the figure below.

Here I have built a buy position in both the US100 and crypto, assuming “it will move to fill this window in the short term”, that is, “it will make a transient rise”. The loss cut was taken when the US100 moved below this short-term low ($13,700). By the way, gap filling is not always a 100% certainty and is more so a turnaround within a range with the assumption it is often filled (expected value is high).

After that, price movement was formed so as to fill the gap without falling below the opening price as shown below.

Of course, BTC also had similar price movement and showed a temporary rise.

 

Volatility may be high upsetting many traders, so I recommend you to think in simple terms and take a position accordingly.