ALWAYS BET ON BLACK - UPDATE 14

FIBONACCI RETRACEMENT NUMBERS - WAITING FOR CONSOLIDATION

Now that we have nice charts at Bitcoinwisdom https://bitcoinwisdom.com/markets/mintpal/bcbtc (thank you !) It becomes much easier to do Technical Analysis.

Fibonacci retracement numbers give you some price points where traders will take actions and thus become important support levels and resistance levels.

As we now all trends have up and down swings and now we will look at the recent up-trend from the previous correction to 27K while trying to consolidate to 39 to 40K.  I will identify important price points using the Fibonacci Retracement Tool provided in Bitcoinwisdom.

There is much to learn about Fibonacci Retracement Tools and if you are interested then you can watch this video or many others: http://www.youtube.com/watch?v=dsomgrotZUg

The price tanked to 27K and then recovered to 45K and now we are trading in a 42.7K to 34K.  At this point you start wondering if the market is going up or down.  Fibonacci points will give some very important numbers that will provide guidance on retracement expectations.

Please note that the software package from Bitcoinwisdom has the numbers in a different order than shown on the video. So instead of clicking form low to high, do it backwards, from high to low.

Follow the video instructions and setup the chart with the Fibonacci Tool going from the high of 45K to the low of 27K and the Fibonacci scale will appear. The first IMORTANT retracement number is 38.6% at 38K, second important number is 50% with a price of 36K, and the third important is the 61.8% retracement with a price at 34K.

Fibonacci-Retracement

CLICK ON IMAGE FOR FULL SIZE VIEW

Now look at the chart and see where the price had found support and resistance.

The lowest number that traders are willing to play for an upside run is 61.8% which would give the highest profit.

These are some great tools you can use to assist your trades but remember that these are just some numbers that other traders are using so expect volatility at the points.

Buy-Black

The following two tabs change content below.

Buy-Black

Latest posts by Buy-Black (see all)

One comment

  1. Pingback: ALWAYS BET ON BLACK - Update 28 |