Retracement targets

28 Okt 2021

Good morning folks,

As BTC is getting clearer shape, now we could talk about potential targets of downside retracement. Triangle has not been formed, so, immediate upward continuation was taken off the table. Now it is clear H&S shape and it has two potential targets.

First one is very close, that is AB=CD that agrees with strong Fib support area. This is the first level for accumulation and attempt to buy, as market has good chances to bounce, at least temporary, that lets us to move stops to b/e.

Currently we do not have serious reasons to suggest drop to XOP and next Agreement area with major 5/8 Fib support. But, if this happens, still - you know what level to watch next. These two levels are enough to hold retracement on any bullish market. If BTC somehow breaks them both - it will be clear signal that something is broken in bullish machine.