Macro-Econ News and Market Sentiment Uncertainty
BTC/USDT, 12h
Neutral
BTC 4hr update. At initial glance this looks like a swing failure pattern. This would be a bearish idea, however this isn’t enough data alone. There is still a lot of news to release this week that could move the markets.
Additionally, this weekly close will be important. A close below 24.3k would be another bearish idea. However the week still has several days left so there is much more data to collect.
There are just some ideas and reasons that I am not trading quite yet. Stay safe, traders.
This week will be an interesting one for crypto. The last few days have had plentiful amounts of catastrophic news such as banks collapsing, USDC de-peg, etc. I don’t intend to cover all of these but what is important from these news events is that I always find it best to take a break from trading until the market gives some more clarity.
After taking all profits from the shorts in our most recent post, I opted to work on my macro-trading strategy as these kinds of events are the perfect catalyst to ultimately drive the markets to recent lows where ideas of accumulation can begin. the point here is that not being in a trade is totally acceptable (and encouraged), but to use that time to work on something else or plan for the next steps.
The chart shown is just using the ideas of market structure to gauge what I am observing in the upcoming week. BTC has recently printed a lower low (LL). While this does not confirm a trend change, it does give signs that the seller strength is beginning to overcome the buyer strength. The confirmation on this will be if we print a lower high (LH) in this next swing high.
That’s really all there is to this chart. If there is additional data worth trading on, I will update that as it comes. But for now I am just watching this idea and working on other things until the market presents me with good trading opportunities.