Short Term Update: MtGox daily chart

This is a short term view of the last 20 days (the distance between two vertical dotted lines is one month), i added an hypothesis where this daily trend will probably meet strong time and price resistance.

After the first attempt down to 9.75$ sellers failed to take control of this market, from there a second daily uptrend started and quickly broke the 10.6$ intermediate resistance. I think that 12.65$ will provide some resistance to this trend and it should be reached around the end of this month.

I don’t have a clear idea of the long term trend because the weekly moving average is now flat,  a strong break out of my next target (12.65$) will confirm the integrity of the long term trend and it will force me again to open a long position.

To conclude, unlikely this market will drop to 7-8$ as i thought 2 weeks ago, i don’t see an aggressive selling activity for the moment, sellers probably need higher prices to show up.

 

Advertisements

2 thoughts on “Short Term Update: MtGox daily chart

  1. mike donnelly

    Could you explain how you derived 12.65$ as next target?
    Now that your opinion clarifies the bitcoin should go up with this scenario in the short term, where does the prospect of the halving block value will affect the long term scenario?

    1. Enky

      Simplifying i compute the target multiplying a volatility factor for the square root of time.
      I think that the halving block is already discounted in this slowly but constant daily uptrend.

Comments are closed.