THE BITCOIN CRYPTO AND NEW HIGHS
One of the lessons learnt the hard way was “Don’t fight the TREND”.
It took me a while to work myself out of it based on the mentally that it has gotten to the highest/lowest point and it’s time to reverse.
Boy, was I so wrong as I seriously got hurt one too many times.
This is more or less a warning to those new or struggling in the business that following the Trend is better than going against it.
Best to always follow the Smart / Professional money as they tend to leave footprints in the sand.
From what we have on the charts, the BTC crypto definitely is out with a vengeance and taking no prisoners at the moment as it bulldozes it’s way making new highs in uncharted territories.$27,000 on the BTC would be a dream for those that went long (following the trend) from earlier this year.
Don’t get me wrong, I’m not saying you cannot go against the trend but you should have a pretty good idea when the trend is coming to an exhaustion and wants to reverse.
If you look at the chart, you’ll notice that it broke out with another GAP to the upside from a consolidation. GAP traders might want to have a go at this but notice that the last 2 GAPs are yet to be closed. Might also be an indication that Price might do a flash crash sometime early 2021.
The consolidation already gave itself a way that there was a soon to be breakout to the upside/downside.
This is also a clear indication of use a Stop Loss for account protection and also for some traders, holding trades over the weekend might be a No No from henceforth.
Lots of other things to discuss on this BTC chart but might have to do a video to explain in better details.
We live and we learn, use this as a learning curve in getting better at the business of FOREX Trading.
Drop a comment if you have a question or need any explanations