Bitcoin Short Term Profit – RIGHT NOW!
UPDATE 1/23 – This position is temporarily invalidated due to the continued sideways movement of Bitcoin. This does not mean it can’t still happen, but it is much harder to trade because the price levels are unstable. I still expect a drop before the 27th on Bitcoin, which will also pull down FTM. Longer term FTM is going to be a great coin to own for the next several years, however, now is not the time to get it at a discount. Those discount levels will come a little bit later this year. As I said in this Week’s Video – I was stopped out in profit (for both Bitcoin and FTM), which is a good reminder to always practice good risk control on any position you take out, and the shorter term the trade is the more you need to watch and manage that risk. This is one of the reasons I mostly focus on the bigger moves of the market – because most of us don’t want to spend all our time in front of the computer.
This is a short term profit move on Bitcoin and one other alt that I found looking extremely good right now. I am looking at a Technical pattern within a pattern unfolding on Bitcoin at this moment. I identified it last night and entered the trade at a point that would be considered too early for traders, but today we have the confirmation that this pattern is actually setting us up for a very big move on Bitcoin and lots of alts as well.
What pattern is it that is giving us a big Bitcoin profit move? It’s a HEAD and SHOULDERS pattern which typically signals a price reversal in the market, you can also have a reverse head and shoulders which we normally see as a bottoming pattern when an asset is ready to start moving UP. Right now the head and shoulders is telling us that we are reversing and going DOWN on BTC. But it is actually forming a small Head and Shoulders inside of a LARGER head and shoulders. Look at the image below:
Target #1 shows the probable end of the FIRST head and shoulders pattern.
Target #2 shows the probable end of the SECOND larger head and shoulders pattern (it can go lower)
HERE is a fuller, more technical explanation of the Head and Shoulders pattern and how it is traded.
As you can see, this is following the Astrological set-up I drew with the Red Green and Yellow market direction lines, as posted in the Bitcoin Timing Report Update yesterday.
We get almost the exact same set up on Altcoin FTM, except it is just about 12-24 hours behind the Bitcoin Short Term Profit move. The FTM chart is just now entering the second shoulder of the first smaller head and shoulder pattern (see the link above for a full explanation of what this looks like). This is where most traders would enter the trade. This is an extra good set up on both charts because we can get not just one profitable downswing on Bitcoin and FTM, but also a second one as well.
Target #1 for FTM is $0.3425
Target #2 for FTM is approximately $0.2872
You can see this on the chart below:
The way to profit on either or both of these coins is by taking out a SHORT POSITION. I already did this and I will update you about it as this unfolds.
PLEASE BE AWARE THAT OVERALL THIS IS VERY BEARISH for all of Crypto (short term)!! If you need to take any cash out of the market, or if you have coins that are suddenly no longer underwater then now is a good time to take some of that cash out. But we CAN still get a really decent run-up in early February – AFTER – this big downswing is completed. Because of the size of this Head and Shoulders pattern I cannot be sure that the February up move will take us past our recent highs – although it is still possible. Of course, if we do not get the full move DOWN on the larger head and shoulders before the end date of our bad Astrology then prices will go up and probably break this pattern without completing it. We have to wait and see how this unfolds.
