Bitcoin: A break below 39000 is another important sell signal
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Bitcoin bounce from 400 pips above the only support for this week at the 500-day moving average at 39200/000 reaches as far as strong resistance at 44200/44400 with a high for the day exactly here.
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Ripple retesting & holding the 500-day moving average at 7300/7250 although we overran as far as 6966. The bounce reached strong resistance at 8071/8200 with a high for the day exactly here.
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Ethereum longs at mega important support at 3050/3000 work on the bounce to strong resistance at 3350/3400 for profit-taking.
Daily analysis
Bitcoin holding important support at the 500 day moving average at 39200/000 to hit strong resistance at 44200/44400. A high for the day here as we dip back to minor support at 42500 (& holding here too as I write) - below 42000 risks a retest of the 500 day moving average at 39600/400. A break below 39000 this time (I think it will happen eventually) is another important sell signal initially targeting 37800/750 & 36500/36000. Below 36000 can take prices as far as 31000.
A break above 44500 however targets 46500/47000, perhaps as far as very strong resistance at 48500/49000. Shorts need stops above 50000.
Ripple reached strong resistance at 8071/8200 & guess where the high for the day was? Minor support at 7750/7700 tested now as I write overnight. Further losses retest important support at 7350/7300. A break below this week's low at 6966 is the next sell signal initially targeting 6450/6400, perhaps as far as 5840/5800.
Holding minor support at 7750/00 allows a retest of strong resistance at 8071/8200. A break above 8300 is a short-term buy signal initially targeting 8600.
Ethereum longs at mega important support at 3050/3000 work o the bounce to strong resistance at 3350/3400 for profit-taking - a high for the day exactly here. A break higher however targets 3500/3550.
Important support at 3050/3000 - stop below 2900. However, a break lower is a very significant sell signal.
Author
Jason Sen
DayTradeIdeas.co.uk
