If we look at the daily time frame, we can see that the uptrend is still intact. We've had a healthy pullback and we're trying to maintain a higher low above $8,200. So my bias is as long as we hold this level, we can potentially form a bottom here and push towards resistance. It just so happens that $8,200 lines up with fib level 0.618.
So, two scenarios:
1) We hold this level, with the expected liquidity wick as usual, and we push towards $9,190 (most apparent resistance). Probably forming a lower high somewhere around $8,800-8,900.
2) $8,200 does not hold and we test psychological level $8,000. If that does not hold, our nearest strongest support level is $7,750ish. In this case, I'd flip my bias and go short and cover around 7750.
We're here to react, not to guess.
XBT
All the best!
So, two scenarios:
1) We hold this level, with the expected liquidity wick as usual, and we push towards $9,190 (most apparent resistance). Probably forming a lower high somewhere around $8,800-8,900.
2) $8,200 does not hold and we test psychological level $8,000. If that does not hold, our nearest strongest support level is $7,750ish. In this case, I'd flip my bias and go short and cover around 7750.
We're here to react, not to guess.
XBT
All the best!
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